My question involves bankruptcy in the state of North Carolina.
Hello,
I am being sued for my home by the Trustee on my wife's bankruptcy case. The situation is this:
In 2006, my wife and I separated. We did so amicably and drafted our own separation agreements where we distributed our property. Additionally, I quit claimed on the house we had been living and she quit claimed on the house we owned together as a rental. I never filed the quit claim deed for my house (the one that was the rental) because I had no idea I needed to do that. In 2010 my wife became insolvent and late last year she filed for bankruptcy. Since the loan for my house was still in her name, she included it in her bankruptcy filing. The trustee found that the quit claim deed was not filed until just before the bk filing--when her attorney said that I should file it. Now I am being sued and everyone tells me I will lose my house.
I am really desperate. I have been living in the house and paying everything fully and on time for 6 years. I have invested over $70,000 into it. Can it possibly be that over a technicality I could lose my one and only home? Can anyone think of anyway I may fight this? Help, please!!! The trustee is smelling blood because I owe $76k on it and he got a BPO that it could sell for $120,000. He has proposed that I let him sell it and he'll give me $15k. I cannot let him take my home from me, let alone for $15k.
Additional info: The divorce was finalized in 2008. The separation agreement included a paragraph where it said that my wife would transfer the deed of the house to me within one year. We thought she had done that by us signing and notarizing the quit claim deed.
Thanks for reading. Any help would be greatly appreciated. This is a matter of me ending on the street here.
Lou

