Asset Discovery And Your Bankruptcy Case

When you file for bankruptcy, you have the opportunity to get debt relief and a chance to start over. But navigating the bankruptcy process is key to getting that relief you deserve. And one of the early processes you must deal with is known as discovery. 

What is discovery in legal cases? And how should you approach it in your bankruptcy? Here's what every claimant needs to know.

What Is Discovery?

Discovery, in legal terms, refers to the process of requesting certain evidence be provided by each party in a case. It usually takes one of three forms. These include statements by witnesses (often in the form of depositions), requests for documents or items to be produced, and written questions. 

Whereas civil and criminal discovery can be wide-ranging, bankruptcy discovery generally centers around asset discovery. The trustee's job is to discover what you own which may be used to satisfy creditors. They may use tax records, income verification, account statements, bankruptcy forms, and other means. 

Why Should You Be Honest In Discovery?

Asset discovery is not always a comfortable thing, but it's a central component in getting the legal relief you need. So don't view it as an adversarial process, even if it feels intrusive or questions are raised. 

The trustee must fulfill their role for the court. And when they can verify your financial situation — to the satisfaction of the court as well as that of your creditors — you'll get discharged faster and usually see more debt relief. Attempts to hide assets or be argumentative could result in delays, dismissal of your case, or even fraud charges. 

What Limits Are There to Discovery?

Within the United States legal system, discovery may be broad but it's not without limitations. You may object to discovery requests which violate the rules. 

For instance, while creditors are allowed to ask questions about your assets and debt during the creditors meeting, these cannot simply be vengeance-filled fishing expeditions that have little merit to your bankruptcy case. 

Where Can You Get Help?

Many debtors have a relatively simple time going through asset discovery. But some may need the help of a trained bankruptcy attorney. This includes situations in which you have unusual or unique assets, where your debtors may take advantage of discovery, or when your bankruptcy case has complications. 

If you want help navigating this or any other part of your case, start by meeting with a bankruptcy attorney in your state today. With their help and your positive attitude, discovery will soon be a memory and your discharge will be closer than ever.   

About Me

bankruptcy from start to finish

Bankruptcy is something that very few people ever plan for. It is a way out when there are no other ways to resolve the financial situation that you have found yourself in. Before you file for bankruptcy, be sure that you understand the process from beginning to end. This blog will walk you through each step and help you gain a better understanding of what you should expect throughout the process and long after it is over. Once you have all of the needed information, you can weigh your options and make an educated decision about whether bankruptcy is your best option.



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