QUESTION
Is it still legal for the creditors to call me after filing a chapter 7?
Asked on Dec 16th, 2012 on Bankruptcy - New Jersey
More details to this question:
I have filed chapter 7. There is still a creditor calling me on a daily basis. My attorney's paralegal has told me it's ok for them to still call up til the day my debts are discharged. I have done as advised and given the creditor my bankruptcy case number and my attorney's number, but to no avail. Because of the harassing nature, I am seeking compensation and am unsure at this point if my attorney is actually doing their job! What exactly am I supposed to do at this point and what's the point of the "automatic stay" if there are no repercussions? Any advice would be helpful.
14 ANSWERS
Bankruptcy Attorney serving Phoenix, AZ
at
Law Office of D. L. Drain, P.A.
Update Your Profile
Get a new attorney.
Answered on Dec 20th, 2012 at 7:18 AM
11 U.S.C 362(a) prohibits all collections vs. the Debtor(s) once the creditor(s) are notified of the Chapter 7. Notify the creditors immediately in writing via fax including with your case number, tell them to no longer contact you or you will file a Motion for Contempt for violating the Stay.
Answered on Dec 20th, 2012 at 12:04 AM
Daniel James Wilson
Your attorney's paralegal is wrong. The automatic stay goes into effect when the case is filed. Get your attorney to earn his fee. Or hire a better attorney.
Answered on Dec 19th, 2012 at 5:02 AM
The automatic stay went into place when your bankruptcy was filed and protects you from creditors contacting you in an attempt to collect. If the creditor is calling to wish you "Merry Christmas," the call would be lawful. Otherwise, this violation of the bankruptcy stay is not lawful and is actionable, meaning you can sue the creditor in bankruptcy court for damages. Based on your description, I would retain a more helpful bankruptcy attorney.
Answered on Dec 19th, 2012 at 5:02 AM
Chapter 7 Bankruptcy Attorney serving Lisle, IL
at
Mankus & Marchan, Ltd.
Update Your Profile
The "automatic stay" of bankruptcy prohibits creditors from pursuing collection of debts after they have notice of filing. If they persist, your attorney can seek sanctions against them, including attorney's fees.
Answered on Dec 19th, 2012 at 4:49 AM
Criminal Defense Attorney serving Deltona, FL
at
R. Jason de Groot, P.A.
Update Your Profile
The automatic stay comes into effect upon filing the petition. The creditor should not even call you. Speak with your attorney about this.
Answered on Dec 19th, 2012 at 1:10 AM
Bankruptcy Attorney serving Seattle, WA
at
The Law Office of Marc S. Stern
Update Your Profile
No, the stay is in effect on the date of filing. Your attorney needs a better educated paralegal.
Answered on Dec 19th, 2012 at 12:52 AM
Appellate Attorney serving Grosse Pointe Farms, MI
at
Musilli Brennan Associates, PLLC
Update Your Profile
What you describe is a clear violation of the automatic stay, is punishable by the contempt powers of the bankruptcy court and most probably a violation of the federal fair debt collection act. Unless there is something very much out of the ordinary, I do not understand the advice of your attorney's paralegal, and in fact I would suggest that you not take your legal advice from paralegals, but rather the attorneys themselves.
Answered on Dec 18th, 2012 at 7:07 AM
Chapter 13 Bankruptcy Attorney serving Winston-Salem, NC
at
Love and Dillenbeck Law
Update Your Profile
No, it is not legal. Tey have to stop calling once they get notice. I am shocked your attorney's office told you this. You need to speak to your attorney and not the paralegal and tell him/her what you were told by the paralegal which is 100% wrong.
Answered on Dec 18th, 2012 at 7:06 AM
Bankruptcy Chapter 7 Attorney serving San Diego, CA
at
Law Office of Asaph Abrams
Update Your Profile
The stay on creditor contact is instated the moment of the bankruptcy filing; it's not okay for the creditor to call pending the bankruptcy discharge. Strict cease-and-desist instruction must be made to the offending creditor. Prosecution of a case for violation of the bankruptcy stay should be considered. This answer (by San Diego bankruptcy attorney, Asaph Abrams) doesn't address all facts & implications of the question; it's general info, not legal advice to be relied upon and exceptions may apply. It creates no attorney-client relationship; it may be pertinent only to CA and/or its Southern District Bankruptcy Court in San Diego. It's independent of other answers. It may be time sensitive, as in past the "Use by" date: laws and case law change. Hire a bankruptcy lawyer before acting or refraining from bankruptcy or other legal action.
Answered on Dec 18th, 2012 at 7:04 AM
Deborah F. Bowinski
No, it?s not okay for them to continue to contact you while the Automatic Stay is in place. You should not be speaking with them and refer the creditor to your attorney?s office. You might want to ask your attorney about taking action against the creditor in bankruptcy court.
Answered on Dec 18th, 2012 at 7:04 AM
Richard hirsh
Immediately upon the filing of a bankruptcy proceeding the automatic stay (11 USC 362(a)) goes into effect and most creditors creditors are generally prohibited from taking any steps to enforce their claims, which includes contacting you. Of course if a creditor has no knowledge of the bankruptcy it is not usually egregious. But once they are given notice by the court or by you or your attorney, they are in clear violation of the automatic stay if they persist in contacting you. I instruct y clients to give creditors only my name and the bankruptcy case number. I also instruct my clients to keep track of any such contacts and to keep any documents sent to them. I do seek sanctions against such creditors under appropriate circumstances.
Answered on Dec 17th, 2012 at 6:07 PM
Chapter 7 Bankruptcy Attorney serving Milwaukee, WI
at
Law Offices of Deborah A. Stencel
Update Your Profile
If the creditor has notice of the bankruptcy, which you state it has received, then it is violating the automatic stay by continuing to call you.
Answered on Dec 17th, 2012 at 5:51 PM
Bankruptcy Law Attorney serving Livingston, NJ
Partner at
Law Office of Stuart M. Nachbar, P.C.
2 Awards
they must cease calling you, as soon as you file. your attorney is not doing their job.
Answered on Dec 17th, 2012 at 5:51 PM