When a bankruptcy petition is filed, all of the debtor’s legal and equitable interests become part of the bankruptcy estate. The statutory definition of “property of the estate” is broad and includes all causes of action that belong to the debtor on the petition date, even if the debtor is unaware of such claims. For example, a debtor’s pre-petition claims against third parties could include personal injury, breach of contract, and professional malpractice claims.

Click on the graphic to read more.

Reprinted from the Fall/Winter 2013 Issue of USLAW Magazine.