People seeking debt relief via bankruptcy actions must file legal pleadings with the court and verify that the information contained in those pleadings is accurate. If they take a certain position in a bankruptcy action, they cannot, at a later date, take a contrary position to suit their changed needs.…
Articles Posted in Chapter 13 Bankruptcy
California Court Discusses Proving a Creditor Violated an Automatic Stay in a Bankruptcy Case
One of the many benefits of filing for bankruptcy is that a stay is automatically entered upon filing, preventing any creditors from taking legal action against the debtor. If an automatic stay is violated, a debtor can seek relief from the court. Issues can arise, however, when it is unclear…
California Court Discusses Sanctions for Violating the Automatic Stay in Bankruptcy Cases
One of the many benefits of filing for bankruptcy is that an automatic stay is imposed that prevents parties from filing a lawsuit against the debtor. If a party ignores the stay and files a civil action against the debtor, the debtor may be able to recover sanctions. The courts…
California Court Discusses Standing to Object to Relief from an Automatic Stay in a Bankruptcy Matter
Bankruptcy debtors are granted relief from debt collection efforts via an automatic stay. In some instances, though, the courts will find it appropriate to lift the stay and allow creditors to pursue claims during the pendency of a bankruptcy proceeding. While debtors can argue that a stay should not be…
California Court Discusses Converting a Chapter 7 Bankruptcy to a Chapter 13
People who have excessive debts often have the option of seeking relief via bankruptcy. There are numerous factors that weigh into whether Chapter 7 or 13 bankruptcy is appropriate, and parties generally determine under which Chapter they will seek relief from their debts based on such factors. Parties can convert…
California Court Discusses Eligibility for Chapter 13 Bankruptcy
Generally, individuals who file for bankruptcy will do so under either Chapter 7 or Chapter 13 of the bankruptcy code. Both Chapters impose eligibility requirements, and parties that do not meet the conditions set forth under the law may not be able to obtain relief for some or all of…
California Court Discusses When a Claim Accrues Relative to Bankruptcy Proceedings
One of the many benefits of bankruptcy is that it stays parties from litigating claims against the debtor. The stay is not limited to actions involving creditors attempting to recover debts but also precludes any claim that may result in a judgment against the debtor. Notably, though, the stay only…
California Court Discusses Reopening of Closed Bankruptcy Cases
Not all bankruptcy petitions that are filed are granted. Instead, in some cases, the court will deny a petition or dismiss a case. Fortunately, however, the law allows for appeals, and in many instances, a petitioner can persuade a court to reverse its ruling and allow a bankruptcy action to…
California Court Discusses Cause for Lifting Automatic Bankruptcy Stay
Generally, when a person files a petition for bankruptcy, an automatic stay will be entered that bars anyone from filing claims seeking damages from the party in state or federal court. In some instances, however, a bankruptcy court can lift the automatic stay, allowing litigation to proceed. Recently, a California…