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Will the filing of a petition for bankruptcy automatically stay most legal?

Filing a petition under chapter 7 automatically stays (stops) most collection actions against the debtor or the debtors property. 11 U.S.C. 362. But filing the petition does not stay certain types of actions listed under 11 U.S.C. 362(b), and the stay may be effective only for a short time in some situations.

What are the effects of bankruptcy petition?

Effects of Bankruptcy 3.1Upon the making of the bankruptcy order, no action or other legal proceedings can be taken by a creditor in respect of a debt provable in bankruptcy against the bankrupt or the bankrupts assets without the leave of the Court.

Can a bankruptcy petition be denied?

Why Can Bankruptcy Be Denied? Bankruptcy is complicated. Many denials, or dismissals, are because the person filing slipped up, their circumstances dont meet Chapter 7 rules, or theyre unwittingly, or deliberately, trying to defraud the system.

What is a bankruptcy petition filed?

bankruptcy petition The document filed by the debtor (in a voluntary case) or by creditors (in an involuntary case) by which opens the bankruptcy case. (There are official forms for bankruptcy petitions.)

What does petition date mean in bankruptcy?

The date on which a debtor files a petition for relief under the Bankruptcy Code and commences its bankruptcy case. This date is used to determine what is property of the estate and is the date by which creditors claims are measured.

How to file for bankruptcy in Orange County?

Contact an Orange County Chapter 7 lawyer to file a bankruptcy petition with the court that serves your area. Along with this petition, you must also file the following documents: A list of creditors with the nature and amount of their claims. Information on the source, frequency, and amount of your income.

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