Can he file bankruptcy after a short sale judgement? 3 Answers as of September 30, 2010As a divorce settlement, my ex-husband and I settled to short sale our home which was already in foreclosure. He has refused to cooperate on the short sale process and has now filed for bankruptcy. If there was a judgment to short sale the home, will the bankruptcy delay the foreclosure and short sale? Do the judges orders supersede the bankruptcy? If so what is the legal code that would apply?
The Law Office of Mark J. Markus | Mark Markus
If your husband is on title to the loan against the house, then his filing bankruptcy will temporarily stop the foreclosure sale until the lender obtains bankruptcy court permission to proceed with the foreclosure sale. The short sale cannot proceed while he is in bankruptcy anyway absent consent of the bankruptcy trustee.
Answer Applies to: California