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What is an example of an adversary proceeding?

Sometimes an adversary proceeding will arise when a debtor owns property with someone else. The trustee may need to bring a lawsuit to divide your interest in the property from the interest of the co-owner so that they can force a sale and take the proceeds to pay your creditors.

What does adversarial proceedings mean?

An Adversary Proceeding in bankruptcy court has the same meaning as a lawsuit in other courts. This means that one or more plaintiff(s) file a complaint against one or more defendant(s). In many situations an adversary proceeding is required if a plaintiff wants to obtain a particular type of relief.

What is the adversarial proceeding?

A full adversary hearing is a legal proceeding where both parties present their arguments and evidence to a judge or decision-maker. This type of hearing is usually open to the public and can be used to decide issues of fact or law.

What is the purpose of the adversary procedure?

An adversary proceeding begins with the filing of a complaint to initiate the proceeding. In contrast, a contested matter occurs within the bankruptcy case. A contested matter starts with a motion filed in the bankruptcy case itself.