Law Offices of Carol D. Ellis, P.A.
Call for a Free Consultation 561.513.5809 En EspaÑol
  • Home
  • About Our Firm
  • Meet Carol D. Ellis
  • Bankruptcy
  • Family Law
  • Estate Planning
  • FAQ
  • Contact Us
  • Call Today
  • Email Us
  • Our Map
  • Menu
Blog 2011 May Automatic stay
Previous Post  |  Next Post

Automatic stay

Posted By Carol Ellis || 18-May-2011

The most valuable feature of a bankruptcy is sometimes the automatic stay, which the debtor gains instantaneously on filing a petition. The stay is an automatic court order that prohibits all sorts of collection attempts by creditors, allowing the bankruptcy to proceed in an orderly fashion. It forces an abrupt halt of most creditor actions against the debtor, including repossessions, garnishments or attachments, utility shutoffs, foreclosures and evictions. Many of these can thereafter be permanently prevented. The stay is also an effective way (though hardly the only way) to end creditor collection efforts. Creditors who violate the stay risk contempt of court, money damages and attorneys' fees. Beyond all this, the stay gives the debtor a breathing spell, time to sort things out.

Other protections available through bankruptcy may offer the only possible way for an individual to keep or regain a driver's license that is subject to revocation because of an unpaid debt arising from a motor vehicle accident. This, in turn, may mean employment and income for the individual's family. In some cases, bankruptcy may mean freedom for a debtor who might otherwise be incarcerated for failure to pay support obligations or as a result of a contempt proceeding involving some other debt.  The Bankruptcy Code also protects the debtor from many types of discriminatory actions by government bodies and private employers on the basis of unpaid debts discharged in bankruptcy.
Categories: Bankruptcy

Share Post

Bankruptcy

How Can We Help You?

  • Chapter 7
  • Chapter 13
  • Bankruptcy Process
  • Alternatives to Bankruptcy
  • Bankruptcy Myths
  • Creditor Harassment
  • Foreclosure
  • Mortgage Modification Mediation Program
  • Repossession
  • Wage Garnishment
  • Will I Lose My Car & Home?
  • Working With the Hispanic Community
  • Bancarrota
  • Capítulo 7
  • Capítulo 13
  • Ejecucion Hipotecaria

Contact Our Law Offices Today

Send My Information
  • Home
  • Site Map
  • Privacy Policy
  • Contact Us
Law Offices of Carol D. Ellis, P.A.
Law Offices of Carol D. Ellis, P.A. - Palm Beach Lawyer
500 Australian Ave. South, Suite 600, West Palm Beach, FL 33401 View Map
Call Today (561) 513-5809
Website: http://www.carolellislaw.com/
© 2023 All Rights Reserved.
Internet Marketing Experts The information on this website is for general information purposes only. Nothing on this site should be taken as legal advice for any individual case or situation. This information is not intended to create, and receipt or viewing does not constitute, an attorney-client relationship.