Just because the debtor filed a bankruptcy case doesn’t mean a creditor should give up. Creditors have rights that need to be protected as well. These rights depend on several factors, some of which include, the type of case filed, whether the debtor is a business or an individual, whether the debt is secured by particular collateral, whether the debt has special designations under the Bankruptcy Code ("priority claims"), how and when the debt was incurred, and whether the debt is a known amount.
Common creditor issues include:
Is the debt dischargeable under the Bankruptcy Code?
- Is the debt related to a divorce or other family law case?
- Is the debt for child support or alimony?
- Was the debt incurred by fraud?
- Did the debtor provide false financial information when the debt was incurred?
- Was the debtor acting in a fiduciary capacity when the debt was incurred?
- Was the debt the result of willful and malicious acts?
Can the case be dismissed?
- Was the case filed in good faith?
- Are the schedules accurate?
- Did the Debtor fail to list significant assets?
Is the debt secured by collateral?
- Is the collateral at risk of disappearing, being damaged or losing value?
- Is the debtor current on contractual obligations for the debt?
- Is the debtor required to make "adequate protection payments" to keep the collateral?
Should relief from the automatic stay be granted?
- Is this a lease and is the debtor making post-petition payments?
- Was the debtor current at the time of filing the bankruptcy case?
- Are there other parties responsible for the debt?
Is the debt a fixed amount?
- Is the bankruptcy court the best court to determine the amount?
- Is a case pending in another court related to the debt?
Do you need to file a Proof of Claim?
- How much is your claim?
- Is the claim entitled to special "priority" status under the Bankruptcy Code?
- How much should you expect to get paid?
Regardless of the type of claim you have, our office is ready to review your situation, provide answers and protect your rights as a creditor.