Are there any exceptions to the automatic stay issued when filing for bankruptcy?

When filing for bankruptcy, a debtor is granted an automatic stay from creditors. This stay is put in place to prevent creditors from collecting payments or taking legal action against the debtor. However, there are some exceptions to the automatic stay given when filing for bankruptcy in the District of Columbia. Creditors may be allowed to pursue legal action in cases involving spousal/child support payments, criminal actions, or actions to set aside fraudulent transfers. Another exception to the automatic stay is when a previous bankruptcy case has been filed. If a debtor has filed for bankruptcy in the past and is now filing again, creditors can still pursue action related to the debt from the first bankruptcy case. In some cases, creditors may also be able to obtain relief from the automatic stay. This process requires creditors to make a motion to the court and demonstrate why they should be granted relief from the stay. This form of relief is not commonly granted, and creditors must provide proof that the stay is impeding their ability to collect payment from the debtor. Though the automatic stay is generally effective in protecting debtors from creditor collection efforts, there are a few exceptions that can allow creditors to pursue legal action. It is important for debtors to understand the exceptions to the automatic stay when filing for bankruptcy.

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