QUESTION

If a creditor withdrew their claim after I objected to the claim can that person now sue me in a local court?

Asked on Nov 12th, 2014 on Bankruptcy - Texas
More details to this question:
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12 ANSWERS

That would be a no.
Answered on Aug 31st, 2015 at 8:40 PM

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That would be a no.
Answered on Aug 31st, 2015 at 8:40 PM

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Commercial & Bankruptcy Law Attorney serving Powell, OH at Ronald K. Nims
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No. The creditor is limited to going through bankruptcy court to collect on the debt from you. If the creditor has a lien on some property (such as a car loan or a mortgage), the creditor can enforce that lien in local court but you're not personally liable. If the creditor does attempt to sue you personally in local court, you can defend the claim in the local court or file an action to defeat the claim in the bankruptcy court. Some local judges aren't expert in bankruptcy law, so I usually recommend that my clients defend in bankruptcy court.
Answered on Nov 13th, 2014 at 12:48 PM

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Not if you received a discharge.
Answered on Nov 13th, 2014 at 12:46 PM

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The bankruptcy stay and the bankruptcy discharge order apply to every creditor that received notice of the bankruptcy. A creditor that withdraws its claim remains bound by the stay and order.
Answered on Nov 13th, 2014 at 9:04 AM

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Bankruptcy Attorney serving Las Vegas, NV at A Fresh Start
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The creditor can sue you if you didn't discharge the debt in your bankruptcy.
Answered on Nov 12th, 2014 at 5:10 PM

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No, that would be considered a violation of the automatic stay. They would first have to ask your bankruptcy judge to grant them relief from the stay, and you would have an opportunity to object to that.
Answered on Nov 12th, 2014 at 5:10 PM

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The question depends on whether you received a discharge. If you received a discharge the creditor cannot sue you. That is a violation of the discharge injunction. Visit with your attorney regarding how to proceed forward. If you did not receive a discharge, yes, that claim, assuming no other defenses, could be pursued in state or other court.
Answered on Nov 12th, 2014 at 5:09 PM

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Bankruptcy Attorney serving Walnut Creek, CA at Alan E. Ramos Law Offices
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No. They can only pursue their claim in bankruptcy court. While the bankruptcy continues, they are barred by the Automatic Stay from purusing you in State Court. After you receive your discharge, the Discharge Injunction (which replaces the Automatic Stay), will prevent them from purusing you in State Court.
Answered on Nov 12th, 2014 at 12:47 PM

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Appellate Attorney serving Grosse Pointe Farms, MI at Musilli Brennan Associates, PLLC
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Need specifics but generally if you are in bankruptcy all claims against the bankrupt must be brought there.
Answered on Nov 12th, 2014 at 12:46 PM

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Bankruptcy Law Attorney serving Livingston, NJ
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No they can not if your bankruptcy is still active.
Answered on Nov 12th, 2014 at 12:45 PM

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Bankruptcy Attorney serving Dallas, TX at Polk & Associates
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If you have an active bankruptcy case, no they cannot do that.
Answered on Nov 12th, 2014 at 12:45 PM

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