Life Tenancy and Bankruptcy

[clemonsba]

My question involves bankruptcy in the state of: new hampshire
My sister and I own my parents house as tenants in common.
MY sister is declaring bankruptcy. Chapter 7
My mother presently is living as a life tenant in the house and is the principal holder of my sister's debt. But is also a co-signer on a mortgage given to my sister on the house.

How does the bankruptcy procedure affect my mother's life tenancy.
Is my interest in the property protected or can i be forced to sell?
If my mother and I pay off the mortgage will we get our money back?

[Mr. Knowitall]

You say you "own" the house, then you claim there's a life tenant. If there's a life tenant, you own a remainder interest - a future estate.

Your sister's bankruptcy could affect her remainder interest, depending upon what value it's determined to have, but doesn't affect mom. You can talk to your sister and the bankruptcy trustee about the possibility of acquiring her remainder interest from her bankruptcy estate, if you so desire.