In bankruptcy proceedings, the automatic stay and discharge injunction provides critical protections for debtors by preventing creditors from collecting on debts outside the bankruptcy process. These protections have limitations, however, particularly when a debtor’s assets have been exempted from the bankruptcy estate, as demonstrated in a recent California case. If…
Sacramento Bankruptcy and Divorce Attorneys Blog
California Court Discusses the Impact of Bankruptcy Stays on Litigation
In civil litigation involving defendants who file for bankruptcy, automatic stays under the Bankruptcy Code can complicate the proceedings. A recent California decision illustrates how courts handle the interplay between bankruptcy stays and ongoing civil cases. If you are navigating a case involving bankruptcy, it is crucial to consult a…
California Court Discusses Misconduct in the Context of Bankruptcy Cases
In bankruptcy cases, courts must carefully evaluate whether debts are dischargeable under the Bankruptcy Code. This can be challenging, particularly in cases involving alleged misconduct, as demonstrated by a recent California bankruptcy ruling. If you are struggling to pay your debts, bankruptcy may be an option for you, and it…
California Court Upholds Limitations on Homestead Exemptions in Bankruptcy
In bankruptcy cases, debtors are required to follow strict procedural guidelines to avoid dismissal of their appeals. Recently, a California district court reinforced this requirement by dismissing a pro se debtor’s bankruptcy appeal due to procedural lapses, serving as a reminder of the importance of adhering to court-imposed deadlines in…
California Court Discusses the Appointment of Counsel in Bankruptcy Cases
While people have the right to be represented by an attorney in criminal cases, they rarely enjoy similar rights in civil cases. For example, in bankruptcy, debtors can seek the appointment of counsel, but their requests will only be granted in exceptional circumstances, as discussed in a recent California ruling.…
California Court Discusses Stays in Bankruptcy Cases
One of the benefits of bankruptcy is that it prohibits creditors from pursuing claims while the bankruptcy is pending. The automatic stay does not bar all non-bankruptcy-related activities, though, as discussed in a recent California case. If you are overwhelmed with debt, you should meet with a California bankruptcy lawyer…
California Court Discusses Jurisdiction Over Appeals in Bankruptcy Actions
People who carry substantial debts often have difficulty making payments. Fortunately, many people are eligible to seek debt relief via bankruptcy. Once a party files a bankruptcy action, creditors are automatically stayed from pursuing claims against them. In some instances, though, the courts will find cause to lift an automatic…
Supreme Court Discusses Discharge of Non-Debtor Parties in Bankruptcy Claims
Bankruptcy is an important tool that allows people to regain control of their finances and alleviate overwhelming debt obligations that they are unable to pay. Not all claims are dischargeable in bankruptcy, however. For example, the United States Supreme Court recently held that judgments against non-debtor cannot be discharged. If…
Court Discusses Double Recoveries Under the Bankruptcy Code
In bankruptcy actions, creditors will often seek to recover some or all of the debts they are owed. While they have the right to do so, the Bankruptcy Code prohibits them from recovering the same debt twice. As discussed by the Ninth Circuit Court of Appeals in a recent case,…
California Court Discusses Grounds for Vacating a Default Judgment in Bankruptcy Actions
People with all-consuming debt will often seek financial relief by filing for bankruptcy. Bankruptcy can help many people regain control of their finances, but if they do not proceed carefully, they may incur additional debt. This was demonstrated in a recent California bankruptcy case in which the court sanctioned debtors…