Ratings & Reviews
I highly recommend Mr. Zimmermann as an attorny. I recently purchased an investment property and boy was he helpful. He was easily available, very clear in explaining various concepts, laws and regulations, and provided very helpful tips o...
I highly recommend Mr. Zimmermann as an attorny. I recently purchased an investment property and boy was he helpful. He was easily available, very clear in explaining various concepts, laws and regulations, and provided very helpful tips on negotiating. I found his fee to be more than reasonable espcecially given the incredible availability he provides. In addition, he's very flexible, and he has first-person experience with various trade workers, so that when we needed to have some feature evaluated, it was arranged lightning fast. The fee was reasonable, the results were thorough and the outcome was extremely good. I was, honestly, like a babe in the woods in navigating this transaction, but with Jim taking the time to walk me through everything and explain/answer any questions I had, it was a completely pleasant experience. And I got the property I wanted for the price I was willing to pay. Let's not overlook the staff: totally helpful and knowledgeable. 5 Stars in my book.
Debtor Beware: The Bankruptcy Automatic Stay Doesn’t Stop Everything
- posted: Jan. 30, 2022
One of the benefits of filing for bankruptcy protection is the automatic stay, which stops most creditors in their tracks. It prevents filing or proceeding with lawsuits to collect judgments, to recover debts, to foreclose on your home or to evict you. It also blocks actions to repossess your vehicles, disconnect your utilities or garnish your wages, as well as other attempts to collect or take action on a debt without the bankruptcy court’s permission.
However, there are limitations on what an automatic stay can do. If you’ve filed a prior bankruptcy less than one year before, the automatic stay will only last for 30 days. If you filed two prior bankruptcies in the past year, you won’t be entitled to an automatic stay. You can still ask the court to impose a stay, but the court will grant your request only if you demonstrate that you’ve been acting in good faith.
Once in effect, the automatic stay doesn’t apply to every debt or to every action that can be taken against you. The following processes, among others, can continue:
- Civil actions involving issues of paternity, alimony, child support, child custody or visitation, divorce (not including the division of marital property) or domestic violence
- Collection of alimony or child support
- Withholding, revoking, suspending or restricting of drivers’ licenses
- Collection of taxes
- Eviction from expired non-residential real estate leases
- Criminal prosecutions relating to the debt, unless the debt repayment issue is separated from the criminal charges
- Government regulatory cases, including collection of fines and penalties
There are many other exceptions to the automatic stay that apply in particular situations.
Even where the automatic stay applies to a debt or to a creditor’s action, the court may grant relief from the stay for good cause. Upon a creditor’s request, the court may lift the stay if it finds that the bankruptcy filing was part of a scheme to fraudulently transfer property securing a debt or that lifting the stay is necessary to prevent irreparable harm to property.
The Law Offices of James C. Zimmerman can analyze your financial situation and give you reliable information on how an automatic stay can protect you during a bankruptcy. Call us at 973-764-1633 or contact us online to schedule a free consultation at any of our five offices, conveniently located in Vernon, Wayne, Pompton Lakes, Hackensack and Nutley, New Jersey.