Are there any exceptions to the automatic stay issued when filing for bankruptcy?
Yes, there are exceptions to the automatic stay issued when filing for bankruptcy in Hawaii. An automatic stay is a court order that restricts certain actions and prevents creditors from taking certain collection actions against a debtor who has filed for bankruptcy. The automatic stay does not apply to certain types of debts, such as child support or spousal support that are owed prior to filing for bankruptcy, nor does it apply to certain taxes owed to the Internal Revenue Service. Additionally, if the debtor has previously filed for bankruptcy within the past year, the automatic stay does not apply. If a prior court order has been issued prior to the bankruptcy filing, the automatic stay can be lifted. In situations where a creditor has secured a judgment against the debtor, the court may choose to lift the automatic stay to allow the creditor to proceed with collection efforts. In addition, if the debtor has filed a motion in the bankruptcy court to obtain relief from the automatic stay, it may be lifted. The court may choose to lift the stay if it finds that the debtor has engaged in fraud or is attempting to dodge payment of the debt. Overall, while the automatic stay is a powerful tool to protect a debtor who has filed for bankruptcy, it has its limits. The exceptions to the stay provide creditors with some ability to collect on their debts and protect their rights.
Related FAQs
Is bankruptcy a public record?Are there additional filing fees associated with filing for bankruptcy?
Can I keep certain types of tax debts when filing for bankruptcy?
What are the differences between filing for Chapter 7 and Chapter 13 bankruptcy?
What is the difference between secured and unsecured creditors?
How does filing for bankruptcy affect my retirement benefits?
How long will a bankruptcy stay on my credit report?
What debts are dischargeable in bankruptcy?
What is the role of the bankruptcy judge?
What are some of the potential pitfalls to filing for bankruptcy?
Related Blog Posts
What is Bankruptcy Law? - July 31, 2023What Are the Most Popular Types of Bankruptcy? - August 7, 2023
How to Choose the Right Bankruptcy Attorney for Your Case - August 14, 2023
Understand the Consequences of Not Filing for Bankruptcy - August 21, 2023
How to Avoid Bankruptcy With Financial Self-Management - August 28, 2023