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I live in NYS and am a co-plaintiff on a personal injury settlement dating back to 2005. Part of the divorce agreement gave my ex $3,000 when the personal injury case was SETTLED. The company we were seeking settlement upon has filed Chapter 11 twice and my ex is demanding his $3,000 NOW even though he is named as a plaintiff in the case. I have no idea if I will even be receiving a settlement now that the company is bankrupt so cannot just come up with the $3,000. What is there to do?
Personal injury claim proceds
Hi Bond,
If you can't get the money, you need not pay your ex. However, when an insurance company goes bankrupt, the State Guarantee Fund [SGF] (supported by the insurers) of the individual state comes in to help the people who had insurance with the company. Even other businesses can buy the funds of the bankrupt insurance company. So you can try to contact your SGF.
Hope this helps.
Regards,
Aaron