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    Purchasing Bankruptcy Furniture
    by Tom Houser


    A business or individual who cannot pay his debts can file for bankruptcy in federal, state or county court. Depending on the type of bankruptcy filed, any property that is owned and not exempted can be returned to the bankruptcy trustee as an asset to be sold. Bankruptcy furniture falls into this category.

    Furniture represents a large part of the expenses and inventory list for most individuals as well as for businesses. When persons or companies file bankruptcy, one of the first assets to be sold is the furniture they owned. The furniture is put up for sale or auction, and the proceeds are then used to pay creditors. Bankruptcy furniture sales and auctions are usually handled by a trustee and advertised in advance, giving the buyer a chance to look over the merchandise prior to the sale.

    In fact, looking prior to the sale and researching prices is a good idea. Usually the person handling the sale is someone appointed by the court, commonly the bankruptcy trustee, and has no background knowledge of the furniture being auctioned. Not surprisingly, bankruptcy furniture can run the gamut from antiques to modern fixtures and equipment. It is merely the trustee's duty to oversee the sale or auction and liquidate the assets. For this reason, planning is in the buyer's best interest.

    Bankruptcy furniture can be a great bargain. Often individuals or businesses invest in good quality furniture. Then they are forced to let them go. Sometimes people or individuals do not realize what they have, or are so eager to sell that the price is extremely low. As the types of bankruptcy furniture vary, so do the prices and the quality.

    In the case of a failed start-up company, for instance, their furniture might be new and in good condition, or could be well used and cheaply made. An older business could own several excellent quality pieces, or have nothing but garage sale quality items. Antique stores and furniture stores that go into bankruptcy may offer pieces at rock bottom prices simply to clear their inventory. By buying bankruptcy furniture, businesses can furnish their offices, or individuals can furnish their homes.

    Bankruptcy furniture may be a great bargain, but it can also be a tedious process. Sales are final, and the pieces are bought 'as is?. Warranties and guarantees on items such as electronic equipment may not transfer, so the buyer needs to understand exactly what is being purchased. Removal of the bankruptcy furniture is also the responsibility of the buyer, so planning for transport is essential.

    Not only are bankruptcy furniture sales and auctions advertised in local newspapers, but they can also be found online. Several sites post ads for furniture for sale or for auction, and will include contact information. Open auctions allow the buyer to go and personally participate in the sale. If an open auction is not an option, however, some web sites sell bankruptcy furniture via auction on the Internet.

    Purchasing Bankrutpcy Furniture and other bankruptcy information for businesses and individuals.

    by T.D. Houser

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