One of the questions the Chapter 7 Trustee will ask you at your 341 hearing is, “Are you entitled to receive, or have you received an inheritance since you filed for Bankruptcy?” The reason for this question is that certain property rights which arise after a Bankruptcy filing may become part of the bankruptcy estate. The most common items include inheritances, property settlements as a result of a divorce and life insurance benefits. See 11 u.s.c. 541(a)(5).
If you receive such property you need to advise your attorney and he/she will have to let the Trustee know. Since the 341 meeting generally takes place four to six weeks after the filing date, many people become confused about the time period during which they are required to turn over additional property. The statute indicates that the property will become property of the estate, and thus become available to pay creditors, if the you become entitled to the property within 180 days after the date of filing. So if you filed on January 1, 2010, you need to count 180 days, beginning with January 2, 2010 to determine the time period that additional property may have to be turned over to the Trustee. If you don’t feel like getting out the calendar you can input the date and time period in the calculator provided at www.calculatorsoup.com If you are considering a bankruptcy filing and have reason to believe you may come into an inheritance make sure you advise your attorney.
