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 Texas. The automatic stay is a court order that provides protection to the debtor and puts a stop to any creditors’ efforts to collect on a debt. It prevents creditors from attempting to seize assets or otherwise collect on a debt without the court’s permission. However, there are certain types of creditors, proceedings, or actions that are excluded from the automatic stay. These exceptions can include: child support or alimony payments; evictions of a tenant; criminal proceedings; penalties for violating safety regulations; domestic support debts; tax debts; student loan payments; and contempt proceedings. These exceptions are important because the automatic stay only applies to certain circumstances and cannot stop these types of proceedings. Although the automatic stay generally protects debtors from the actions of their creditors, it is important to remember that there are exceptions and debtors should be aware of them going into a bankruptcy filing.
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