Palm Beach Gardens Adversary Proceedings Attorney
Simply filing and adjudicating a bankruptcy case in court is not always enough to solve all of the issues that can arise in the proceedings. When a party to the bankruptcy case needs to litigate an ancillary issue within the ongoing case, they can file an adversary proceeding in conjunction with, but separate from, the bankruptcy case at hand. At Markarian & Hayes we understand how to handle an adversary proceeding and the effects that it can have on a bankruptcy case. Our Palm Beach Gardens adversary proceedings attorneys are here to help you with your adversary proceeding and ensure that you get the best possible outcome in the bankruptcy system.
Types of Adversary Proceedings
Anyone involved in a bankruptcy petition may file an adversary hearing against the other parties taking part in the case. Depending on the plaintiff, an adversary proceeding can be filed to enforce certain rights, divulge information and assets, discharge or deny discharge of certain debts, and for many other reasons in conjunction with a bankruptcy case.
Typically, a creditor will file an adversary proceeding to challenge the discharge of the debtor’s debt at the end of the bankruptcy case. In certain circumstances, a debt may be declared non-dischargeable by the court. Examples of a non-dischargeable debt include debts incurred through fraud, obtained immediately before the case, or are priority claims.
A bankruptcy trustee may also file an adversary proceeding to deny the discharge of debts, and may also file a lawsuit if the trustee believes that the debtor is hiding assets. Claims by the trustee that the debtor lied on asset schedules, hid assets from the court, or otherwise defrauded the bankruptcy court are all made through adversary proceedings.
Trustees in a bankruptcy can also file an adversary proceeding to separate property that is co-owned by a debtor in a Chapter 7 bankruptcy or to force the payment of preferential transfers to creditors. Finally, a trustee can file a lawsuit against creditors in certain situations if the trustee believes that the creditors are unjustly harassing the debtor or attempting to collect after an automatic stay has been put into place by the court.
A debtor in a bankruptcy lawsuit can also bring their own adversary proceeding in conjunction with the case. Debtors can file a lawsuit against creditors who do not abide by the automatic stay and continue to attempt to collect on their debts. In addition, a debtor can file an adversary proceeding to eliminate junior liens from real estate through a process known as “lien stripping.”
Call A Palm Beach Adversary Proceedings Attorney Now
Dealing with the complexity of a bankruptcy case is incredibly stressful, and you do not need the added burden of litigating an adversary proceeding all on your own. The experienced bankruptcy attorneys at Markarian & Hayes have a successful track record of handling adversary proceedings for creditors, trustees, and debtors in bankruptcy cases and can help your with your case, too. Call the office or contact us today for a private review of your claims.