Yes.  And the bankruptcy will not likely help her with regard to this sale.  The Bankruptcy Code excepts debts "for fraud or defalcation while acting in a fiduciary capacity, embezzlement, or larceny" from discharge.

And, I would hazard a guess that the sale will not come close to covering the debt she will owe Chicago Title (particularly in this market).  Even after her bankruptcy, she will probably still owe a large sum of money.