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Creditor not listed, now what?


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A failed franchise resulted in me filing a 7 in 1995. My relatives 20K loan from 1993 (the loan that helped me buy the franchise) was not on the Creditor List. I paid the relative 12K in cash and gave him 27 months of unpaid rent @ $350 month = $9450 in my duplex after the filing. When my property was lost in 1998 through foreclosure - 35K in equity, ouch!, and my relative had to move out, he decided I didn't own the duplex so he didn't need to offset the loan with his unpaid rent. The original loan was for 20K. He's suing for $8500 plus interest. Anyone know the law in PA about not listing a creditor? I've researched Landlord/Tenant law and I'm confident I can counter claim, but I'm not certain about SOL and I'd like to hear any professional opinions. Thanks!

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Actually, all debts, even those which are unreported are technically included in a BK, even if they are not listed in the BK schedule of debts.

Case law to support this: Beezley Vs. California Land Title Company, US Court of Appeals for the Ninth Circuit, Case Number 91-55809. You can look up the case on the internet for details. Your relative will lose.

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