What can we do if the seller has filed for Chapter 11? How? 11 Answers as of June 15, 2015

My husband and I are acquiring a short sale property and the bank approved the sale price. However, the seller filed Chapter 11 bankruptcy. What options do we have?

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Ronald K. Nims LLC | Ronald K. Nims
Probably, there will simply be a month or so delay in the sale. However, you will need to consult a bankruptcy attorney to take you through the process.
Answer Applies to: Ohio
Replied: 6/15/2015
Janet A. Lawson Bankruptcy Attorney
Janet A. Lawson Bankruptcy Attorney | Janet Lawson
Ouch. You need to seek local counsel. Ch 11 is a complicated beast. You may find one at NACBA. Org
Answer Applies to: California
Replied: 6/12/2015
Richard B. Jacobson & Associates, LLC | Richard B. Jacobson
Contact the seller's Ch. 11 lawyer and tell him or her that the deal has been made, and you would like to see the sale take place. It is possible to move the Court for Relief from Stayi.e. permission to go ahead and do something otherwise prohibited by the bankruptcy stay. It would probably be the present mortgage-lender who would file the motion.
Answer Applies to: Wisconsin
Replied: 6/11/2015
GARCIA & GONZALES, P.C. | Richard N. Gonzales
Talk to the Sellers' attorney and see what their intentions are with regard to the property. This area of the law is very technical. You will need to pay an experienced Chapter 11 lawyer for their time to see what rights you have.
Answer Applies to: Colorado
Replied: 6/11/2015
Stephens Gourley & Bywater | David A. Stephens
Contact the debtor's attorney about the sale. You can also file a motion to have the sale approved. Be advised the Debtor may be trying to save the property in chapter 11.
Answer Applies to: Nevada
Replied: 6/11/2015
    Law Offices of Joseph A. Mannis
    Law Offices of Joseph A. Mannis | Todd Mannis
    I think they probably filed Chapter 7 or 13, but you might want to find out. It would make a tremendous difference in answering your question.
    Answer Applies to: California
    Replied: 6/11/2015
    The Law Office of Darren Aronow, PC
    The Law Office of Darren Aronow, PC | Darren Aronow
    Either wait until the bankruptcy is over or file a motion to authorize the sale.
    Answer Applies to: New York
    Replied: 6/11/2015
    A Fresh Start
    A Fresh Start | Dorothy G Bunce
    The seller will need court permission to sell. You should have an attorney representing you to make sure that the sale is allowed to go forward.
    Answer Applies to: Nevada
    Replied: 6/11/2015
    Patrick W. Currin, Attorney at Law | Patrick Currin
    The BK should not necessarily impact the sale since by definition, the short sale gives seller no proceeds.. Confirm that seller intends to complete the sale.
    Answer Applies to: California
    Replied: 6/11/2015
    The Schreiber Law Firm
    The Schreiber Law Firm | Jeffrey D. Schreiber
    The sellers may or may not be proposing to continue with the sale through their bankruptcy plan. You would need to find out what their plan of reorganization proposes first before you can have any idea what your options may be. Either the Debtors, their real estate agent or their attorney may be able to provide you that information.
    Answer Applies to: California
    Replied: 6/11/2015
    Musilli Brennan Associates PLLC
    Musilli Brennan Associates PLLC | John F Brennan
    Your best option would be to see an attorney as there is a possibility that the transaction should, or may be allowed to go forward if the seller agrees regardless of their filing bankruptcy.
    Answer Applies to: Michigan
    Replied: 6/11/2015
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