Park Forest Bankruptcy Attorney On The Automatic Stay & Meeting ...

Once the case is filed, the automatic stay goes into place, and anything the creditor wants relative to either the debtor or the debtor’s property is going to have to be done with bankruptcy court permission.  The creditor will file what’s called a motion to modify the automatic stay, or a motion for relief from the automatic stay.  And the court will determine whether or not the creditor is entitled to relief, and/or whether or not the creditor is entitled to relief at that particular time.  In the meantime, the debtor prepares for his meeting of creditors before the trustee.  This meeting only lasts between five and ten minutes.  The debtor’s attorney accompanies the debtor, but for all intents and purposes does nothing other than assist the trustee and the debtor with additional paperwork and perhaps clarifying issues.  This meeting is an opportunity for creditors to ask questions of the debtor; however, rarely do any creditors appear.  Creditors know that the Trustee will make a finding of either assets or no assets, so a creditor’s presence is not necessary.  By having fewer people attend the meeting relative to the debtor, the meeting is less pressurized and the debtor typical comes through unscathed.