How does the automatic stay protected me from creditors during a Chapter 11 bankruptcy?

During a Chapter 11 bankruptcy in West Virginia, the automatic stay is an important protection from creditors. The automatic stay prohibits creditors from collecting debts from the debtor, during the bankruptcy process. This means that creditors cannot call the debtor on the phone, contact the debtor by mail, or take any other action to collect a debt. This stay includes enforcement actions, such as wage garnishment and repossession of property. The automatic stay also stops any future court proceedings against the debtor. This includes actions to collect on a debt, such as a lawsuit. The automatic stay also prevents creditors from filing additional claims against the debtor’s assets. This means that creditors cannot submit additional claims to the court asking for payment of a debt. The automatic stay is an important protection that can help a debtor during a Chapter 11 bankruptcy. It prevents creditors from taking action to collect on a debt, and it stops creditors from filing additional claims against the debtor’s assets. This stay gives the debtor the time and space necessary to reorganize and eventually repay their debts through the bankruptcy process.

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How does the automatic stay protected me from creditors during a Chapter 11 bankruptcy?

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