When a Debtor is Considering Bankruptcy and Maintains a Personal Injury Claim
When individuals file for bankruptcy, they are required to disclose all their assets and liabilities. However, some potential debtors are not aware that he or she is required to disclose potential lawsuits in which the debtor may obtain a monetary windfall. Specifically, if the debtor has a pending personal injury action, then the case must be disclosed. In fact, even if the personal injury complaint is not filed, but the debtor maintains a potential claim, then the asset must be disclosed on the bankruptcy petition. Failure to disclose your assets can constitute bankruptcy fraud.