Legal Corner

-List Your Site Here! -- Targeted Advertising For Just Pennies A Day! -Tell A Friend - Bookmark This Page

LegalCornerTM - Creditor Rights F.A.Q.'s

Find A Lawyer
Law Area:




Search By:


Q.What rights does a creditor have against a debtor who has filed for Bankruptcy?

A.When presented with a notice that a debtor has filed for bankruptcy, the creditor must immediately stop all collection efforts. However, a creditor may:

  1. Share in any distribution from the bankruptcy estate according to the priority of his or her claim. Most unsecured non-wage claims have a low priority, and may receive little or nothing.
  2. Be heard by the court in matters concerning the debtor's plan (in chapters 11, 12, and 13), the liquidation of the debtor's nonexempt assets, and payments from the assets of the bankruptcy estate.
  3. Challenge an individual debtor's right to a discharge, or to the discharge of a particular debt.

Copyright 1999-2018 Melissa C. Marsh. All Rights Reserved. All Information on this website is subject to a Disclaimer and Use Agreement. This information is provided as general information only and should not be construed as legal advice. We advise you to seek the advice of competent legal counsel to address your own specific questions, facts and circumstances.