Here's my story, I had a house built 2yrs ago and after a year and a half of living there the builder decides he made a mistake in the purchase price and sued me for $33,000. I agreed to make monthly payments of $400/month because my lawyer told me if I file bankruptcy I can include that judgement and I wouldn't have to worry about paying him. Now my question is after my bankruptcy has been discharged can he come back and sue me again and put a lean on my house? Someone please help I found a bankruptcy attorney but he died in the process of my paperwork so I have to start all over again.

Heres my story, I had a house built 2yrs ago and after a year and a half of living there the builder decides he made a mistake in the purchase price and sued me for $33,000. I agreed to make monthly payments of $400/month because my lawyer told me if I file bankruptcy I can include that judgement and I wouldnt have to worry about paying him. Now my question is after my bankruptcy has been discharged can he come back and sue me again and put a lean on my house? Someone please help I found a bankruptcy attorney but he died in the process of my paperwork so I have to start all over again.



I don't understand why you owe the builder - ? It took him 18 months to figure it out?

Was it an obvious error? Otherwise, I'm confused -

Are you in a position to file in bankruptcy? You would stand a chance of losing the house through that proceeding, gaining nothing in the long run.

This is a puzzle!

I don't understand why you owe the builder - ? It took him 18 months to figure it out?

Was it an obvious error? Otherwise, I'm confused -

Are you in a position to file in bankruptcy? You would stand a chance of losing the house through that proceeding, gaining nothing in the long run.

This is a puzzle!

It actually took the builder 19months to find this error he made. Long story short he made a mistake on the HUD1 at closing saying we put down 10% which would have been $40,000 when we actually only put down $10,000. It was totally his mistake they were all his numbers and he wasn't even at the closing he just signed off on all the papers. When I got the check for $30,000 I called my lawyer and my loan officer and they assured me there was NO mistake my loan was right all my papers were correct, and I did 100% financing so I was supposed to get money back, plus I paid for a few things out of pocket like my light fixtures and carpet so I was going to get credits for that and tax proration. Needless to say I waited 2 months before even cashing the check because I figured if it was a mistake he would find it by then. No call nothing until 19 months later I get a letter saying I owe $30,000 and if I don't have it he will sue me.
As far as filing bankruptcy I do have a lot of other debt and my husbands company is going out of business and I really can't afford an extra bill of $400/month for someone else's mistake. I don't want to loose the house but it won't sell in today's real estate market so I really feel that I don't have a choice. In the same aspect if we keep the house then he's going to slap a $30,000 judgement on me? That's what I need to find out.

Has he actually sued you yet?

If the answer is no, then I'd want to have my day in court.

The fact that it took this long to discover the mistake, should fall in your favor.

Even though the amount is substantial, you could defend yourself unless you could afford an attorney, in which case would be good to have.

Worst case, he wins, then you file bankruptcy to dismiss the judgment.

What ever you do, don't file bankruptcy until this has been awarded as a judgment or he will just sue you after the BK and you will have no way to avoid the judgment.

You owe the builder nothing. He signed the HUD 1. The lender reviewed the contract and the HUD 1. The title company you closed at reviewed the HUD 1 and the purchase contract. The builder made a costly mistake. I bet that they don't ever do it again!

I agree HE made a huge mistake not me, he signed the papers without thoroughly reading over it. However the judge seemed to be on his side because he made the comment that WE shouldve known it was wrong and returned the check. If anything shouldn't his lawyer or the title company be responsible before me? How can I be held responsible for something he did wrong? I paid my lawyer and the closer to do my part of the closing I feel that I didn't make a mistake at all. My lawyer said it was in my best interest to just agree to making payments and file bankruptcy to get rid of it. Im just wondering if he can re-sue me and put a lean on the house, is that possible?

I agree HE made a huge mistake not me, he signed the papers without throughly reading over it. However the judge seemed to be on his side because he made the comment that WE shouldve known it was wrong and returned the check. If anything shouldnt his lawyer or the title company be responsible before me?? How can I be held responsible for something he did wrong? I paid my lawyer and the closer to do my part of the closing I feel that I didnt make a mistake at all. My lawyer said it was in my best interest to just agree to making payments and file bankruptcy to get rid of it. Im just wondering if he can re-sue me and put a lean on the house, is that possible??



Only your Attorney knows all the ins and outs of your situation and he/she is the person to give you advice on re-suing you and liening against the property - if the case has already been heard the builder cannot keep suing you (bankruptcy or no bankruptcy) until he gets a decision that he likes.

You can be held responsible if it's a mistake you should have realized - it's considered to be a form of fraud on your part.

If you didn't know, had no way of knowing, the figures made sense - well, then I don't see that you are at fault.