Good Faith Can Save a Creditor
Creditors recently won a protection from debtors while investigating potentially exempt assets. Under both state and federal law, debtors are entitled to assert certain claims that assets may be exempt from seizure by creditors. However, many debtors do not act quickly to supply the required information to support the claim. Is the creditor at risk during this period of claims for damages? A recent case decided that there was a safe haven for the creditor while it investigated the claims in good faith. Click through to read the full case summary.