Exceptions to Protection from Repossession
Despite the protections from repossession that borrowers can benefit from when filing for bankruptcy, it’s important to point out that:
- Automatic stays can be lifted if creditors challenge them and are successful in court. When this occurs, creditors can proceed with repossessions or other actions against borrowers (like, for instance, foreclosures or wage garnishments).
- These injunctions can also be lifted if the bankruptcy court rejects a borrower’s petition to file for bankruptcy. The court can reject a bankruptcy petition if the borrower has failed to disclose all of his assets, the bankruptcy documents haven’t been properly completed, etc.
- Creditors seeking payment for certain debt (like, for example, student loan debt or court-ordered payments) may still be able to try to take legal action against borrowers despite a bankruptcy proceeding.
The Denver Bankruptcy Lawyer at Lindquist-Kleissler & Company, LLC Can Help You
If you are facing the threat of repossession, are buried in overwhelming debt or are facing a serious financial crisis, Denver Bankruptcy Lawyer Arthur Lindquist-Kleissler can help you figure out your best options for resolving your financial issues.
Mr. Lindquist-Kleissler and the other legal professionals at Lindquist-Kleissler & Company, LLC have been providing both individuals and businesses with the highest quality of legal services since 1979. From simple to complex bankruptcy cases, Mr. Lindquist-Kleissler can always be trusted to maximize utilization of Colorado Bankruptcy Law to effectively guide his clients through bankruptcy and help them achieve the best possible resolutions to their cases.