questions & answers

Question: I appear for my 341 hearing and approach by a lawyer representing my creditor. I was asked to step out in the hallway and told I had two choice either agree to start repaying or surrender the things I got from them. They also sent me a certified letter. What type of motion can I file for them violating the order of stay?

Answer: 11 U.S.C. Section 362 (a) states what types of matters are covered by the automatic stay in bankruptcy cases. 362(k) states: “an individual injured by any willful violation of a stay provided by this section shall recover actual damages, including costs and attorneys’ fees, and, in appropriate circumstances, may recover punitive damages.”

If a creditor is violating the stay, you should let the bankruptcy court know.  If a creditor violates the automatic stay they can be held in contempt. If the creditor continues to violate the stay you can file an injunction.