Will my bankruptcy claim affect my personal injury claim?

Video Transcript

Bankruptcy claims do affect personal injury claims. What happens when you file bankruptcy is a bankruptcy court creates what is in essence an estate for you, and your estate encompasses all of your assets. Your claim in a motor vehicle accident, or any kind of tort case, is an asset of your estate, so the bankruptcy court will take that over. Now, in the event that your recovery is large enough that it takes care of your bankruptcy, the financial needs of your bankruptcy filing, then any excess money would go to you, but the bankruptcy court does take over your personal injury case.

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