Rio Rancho, NM asked in Bankruptcy for New Mexico

Q: If you have a lawsuit pending or a judgement has been made, would chapter 7 bankruptcy stop any further actions?

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3 Lawyer Answers

Timothy Denison

Answered
  • Bankruptcy Lawyer
  • Louisville, KY

A: Depends on what kind of action but generally speaking g, yes.

Stuart Nachbar

PREMIUM
Answered
  • Bankruptcy Lawyer
  • Livingston, NJ

A: Yes, the automatic stay provisions of 11 USC 362 would prevent continued collection of same.

Arun Arjan Melwani

PREMIUM
Answered
  • Bankruptcy Lawyer
  • Albuquerque, NM
  • Licensed in New Mexico

A: Yes. It will not only stop further lawsuits against you, but it will stop the pending lawsuit and the collection of any judgements that have been entered against you. In fact, if you have already been garnished, then that money that was taken in the 90 days before filing may be recovered as well. If you are facing these problems, then you should contact a bankruptcy attorney right away.

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