SEQUESTRATION/Transfer of property. Help Please.

[bobsthebuilder]

Hi,

Hoping someone can help. A brief resume of my circumstances is that I was self employed (sole trader) Approx three years ago I seen the credit crunch coming and thought that if the economic outlook was to get any worse I would have problems paying my mortgage, which was in my name only. I had another property which was in joint names with my wife, with no mortgage. I transferred my share FOC to my wife, then approx. one year later she sold the property and kept the proceeds.

When I transferred the property (my half) in to her name my lawyer insisted I sign a solvency thingy, meaning that I was solvent at the time of the transfer which I was, and cont’s to be so for approx. one year after the transfer, when the s___ really hit the fan with the economy, and my business struggled.

I have indeed recently been made bankrupt, and had my house re possessed. Now the trustee is asking questions re the jointly kept property. Wondering if they could come after my wife, for my share of the transfer., or indeed reverse the sale of the property, which my wife sold for full market value at the time. Any help would greatly be appreciated.

[bobsthebuilder]

Oh just in case anyone was wondering, I was NOT a builder.

ANYONE THERE?

Edited January 12, 2011 by bobsthebuilder
Adding a little extra.

[the_shadow]

Hmm I'm afraid I'm not going to be much help other than to say I did investigate this when I started to get into debt trouble and transferred the house into my wifes name gratis... I was told that in theory a judge could reverse the sale/transfer for years after the date of transfer/sale.

 

I also seem to remember something about a bankruptcy limit of 3 years... if someone goes bankrupt in that time the law can reverse the transfer and the official receiver can then sell the property.

 

Oh and anything transfered without a value or undervalue is deemed a gift in the eyes of the law.

 

Personally as this is such an important matter I would get the opinion of a solicitor on this before making any decisions... most law firms run free initial sessions to give advice.

 

S.

[teaboy2]

if you gave your share of the property to your wife as a gift and she sold that property and bought another one, then there is nothing connecting you to the new property and they have no claim over it. If however you did not give the your share as a gift and your ex simply refused to pay you your share of the sale of the property then legally your entitled to have the money of the sale, and as such your therefore entitled to a share of her new house equal to that of the value of your share in the old house when it was sold. If that is the case, then yes they can claim half of your wifes new house.

 

I believe that is the case, though am not an expert in this field of property shares and bankruptcy etc so i maybe wrong. But if it is a gift that you gave your wife your share of the house, then legally i can not see how they can claim a share in her new house. But as the_shadow said, seek advice from a solicitor first.