Disclaimer

 

© 2017, JRQ & Associates, LLC. All Rights Reserved.

 

The photographs on the homepage slideshow are attributed and used under the following:  Chicago River © flickr user Mindfrieze under licence CC BY-SA 2.0

CHECK US OUT:

  • w-facebook
  • Twitter Clean
  • LinkedIn Clean
  • Instagram App Icon
  • Yelp Social Icon

Chicago Bankruptcy Attorneys | Relief from the Automatic Stay

A motion for relief from the automatic stay is brought to “lift” the automatic stay that applies once a bankruptcy case is filed.  So what’s this automatic stay?  An automatic stay is both automatic and a stay against collection activity.  It immediately stops mortgage foreclosures, car repossessions, lawsuits, judgments, wage garnishments, and so much more.  A violation of the automatic stay by a creditor can have serious consequences. 

 

 

To combat this powerful protection, a creditor may bring a motion to “lift” the automatic stay so that it may continue with its collection action.  This typically occurs when you’re not making payments to a secured creditor (car lender, mortgage lender, etc.) or the collateral is not adequately protected (no insurance on the collateral, unlikely to make future payments, etc.).  The motion is filed with the Court and you are provided notice and a hearing in front of a Judge.  Although the burden is on the creditor to prove that it should be removed from the bankruptcy proceeding, the Judge will grant this motion if you’re unable to show that you can remedy the defect.

 

 

Our clients can rest assured that our bankruptcy attorneys defend against these motions on a regular basis and have a strong commitment to finding the best possible solution.

Chicago Bankruptcy Attorneys | Relief from the Automatic Stay