Quote:
Originally Posted by Rocky Raccoon
Although Canadian and American bankruptcy legislation is obviously very different and I am not intimately familiar with American legislation, they are based on the same principles. With that in mind, I can say with confidence that Jason Woolley will not recover a single cent from this.
Even with a successful judgement against the defendants and subsequent enforcement and collection, Woolley's bankruptcy estate would likely be entitled to the judgement funds for the benefit of the unsecured creditors.
The only way for Woolley to benefit from this is if there are surplus funds remaining after the Trustee's fees are paid and the proven unsecured creditors from the bankruptcy are paid in full with interest per annum.
With the information from the article we know that there will likely be many other plaintiffs with much higher judgement amounts and being that it would appear the defendants were spending frivolously, there will likely not be enough recovered to satisfy all of the claims in full.
The plaintiffs may be successful in obtaining court orders which would make additional sums payable for the duress and harm they endured above the amounts defrauded; however, with the defendants serving jail time and likely to never have gainful employment in the future, these amounts will likely not be recoverable.
To summarize in plain english, Jason Woolley is likely effed completely. The other people who were screwed are effed also but might recover a small amount of money. The best thing that will likely come out of this for the defrauded parties is peace of mind knowing these criminals are not going to be defrauding anyone else. This is a very small consolation.
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I think you meant secured creditors (mortgage holders, lien holders on cars etc.), Jason Wolley and Bryan Berard would fall under the unsecured creditors category.