Decedent Chapter 7 Debtor's wife filed a motion, acting as personal representative of the probate estate, to avoid two judicial liens against the Debtor's real property that were not avoided during the bankruptcy. While courts have allowed lien avoidance nunc pro tunc by personal representatives, here the Debtor transferred the real property to entireties property prior to his death and discharge. Here, the property is now, and has always been, outside the probate estate. Thus, the wife lacks standing to reopen the case, as the property is not within the probate estate, and the judgment creditor has no claim against an asset of the estate or the estate itself.
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Lena M. James
The Chapter 13 Trustee filed a motion to distribute funds held in reserve to a first mortgage holder. The Trustee had been holding funds due to a mistaken satisfaction of the first mortgage lien. The motion was denied without prejudice.