Back to Top
A lawsuit arising in or related to a bankruptcy case that is commenced by filing a complaint with the bankruptcy court.
Back to Top
Back to Top
An agreement to continue performing duties under a contract or lease.
Back to Top
Back to Top
An injunction that automatically stops lawsuits, foreclosure, garnishments, and all collection activity against the debtor the moment a bankruptcy petition is filed.
Back to Top
Back to Top
A legal procedure for dealing with debt problems of individuals and businesses; specifically, a case filed under one of the chapters of title 11 of the United States Code (the Bankruptcy Code).
Back to Top
Back to Top
An officer of the judiciary serving in the judicial districts of Alabama and North Carolina who, like the United States trustee, is responsible for supervising the administration of bankruptcy cases, estates, and trustees, monitoring plans and disclosure statements, monitoring creditors’ committees, monitoring fee applications, and performing other statutory duties.
Back to Top
Back to Top
The informal name for title 11 of the United States Code (11 U.S.C. §§ 101– 1330), the federal bankruptcy law.
Back to Top
Back to Top
The bankruptcy judges in regular active service in each district; a unit of the district court.
Back to Top
Back to Top
All legal or equitable interests of the debtor in property at the time of the bankruptcy filing. (The estate includes all property in which the debtor has an interest, even if it is owned or held by another person.)
Back to Top
Back to Top
A judicial officer of the United States district court who is the court official with decision-making power over federal bankruptcy cases.
Back to Top
Back to Top
A formal request for the protection of the federal bankruptcy laws. (There is an official form for bankruptcy petitions.)
Back to Top
Back to Top
A private individual or corporation appointed in all chapter 7, chapter 12, and chapter 13 cases to represent the interests of the bankruptcy estate and the debtor’s creditors
Back to Top
Back to Top
A bankruptcy case in which the debtor is a business or an individual involved in business and the debts are for business purposes.
Back to Top
Back to Top
The chapter of the Bankruptcy Code providing for “liquidation,” i.e., the sale of a debtor’s nonexempt property and the distribution of the proceeds to creditors.
Back to Top
Back to Top
A person appointed in a chapter 7 case to represent the interests of the bankruptcy estate and the unsecured creditors. (The trustee’s responsibilities include reviewing the debtor’s petition and schedules, liquidating the property of the estate, and making distributions to creditors. The trustee may also bring actions against creditors or the debtor to recover property of the bankruptcy estate.)
Back to Top
Back to Top
A reorganization bankruptcy, usually involving a corporation or partnership. (A chapter 11 debtor usually proposes a plan of reorganization to keep its business alive and pay creditors over time. People in business or individuals can also seek relief in chapter 11.)
Back to Top
Back to Top
The chapter of the Bankruptcy Code providing for adjustment of debts of a “family farmer,” as that term is defined in the Bankruptcy Code.
Back to Top
Back to Top
The chapter of the Bankruptcy Code providing for adjustment of debts of an individual with regular income. (Chapter 13 allows a debtor to keep property and pay debts over time, usually three to five years.)
Back to Top
Back to Top
A person appointed to administer a chapter 13 case. (A chapter 13 trustee’s responsibilities are similar to those of a chapter 7 trustee; however, a chapter 13 trustee has the additional responsibilities of overseeing the debtor’s plan, receiving payments from debtors, and disbursing plan payments to creditors.)
Back to Top
Back to Top
A creditor’s assertion of a right to payment from a debtor or the debtor’s property.
Back to Top
Back to Top
The first or initiatory document in a lawsuit that notifies the court and the defendant of the grounds claimed by the plaintiff for an award of money or other relief against the defendant.
Back to Top
Back to Top
Approval of a plan of reorganization by a bankruptcy judge
Back to Top
Back to Top
A bankruptcy case filed to reduce or eliminate debts that are primarily consumer debts.
Back to Top
Back to Top
Debts incurred for personal, as opposed to business, needs.
Back to Top
Back to Top
A claim that may be owed by the debtor under certain circumstances, for example, where the debtor is a cosigner on another person’s loan and that person fails to pay.
Back to Top
Back to Top
A person to whom or business to which the debtor owes money or that claims to be owed money by the debtor.
Back to Top
Back to Top
A person who has filed a petition for relief under the bankruptcy laws.
Back to Top
Back to Top
An individual (or business) against whom a lawsuit is filed.
Back to Top
Back to Top
A release of a debtor from personal liability for certain dischargeable debts. (A discharge releases a debtor from personal liability for certain debts known as dischargeable debts (defined below) and prevents the creditors owed those debts from taking any action against the debtor or the debtor’s property to collect the debts. The discharge also prohibits creditors from communicating with the debtor regarding the debt, including telephone calls, letters, and personal contact.)
Back to Top
Back to Top
A debt for which the Bankruptcy Code allows the debtor’s personal liability to be eliminated.
Back to Top
Back to Top
A written document prepared by the chapter 11 debtor or other plan proponent that is designed to provide “adequate information” to creditors to enable them to evaluate the chapter 11 plan of reorganization.
Back to Top
Back to Top
The value of a debtor’s interest in property that remains after liens and other creditors’ interests are considered. (Example: If a house valued at $60,000 is subject to a $30,000 mortgage, there is $30,000 of equity.)
Back to Top
Back to Top
Generally includes contracts or leases under which both parties to the agreement have duties remaining to be per-formed. (If a contract or lease is executory, a debtor may assume it or reject it.)
Back to Top
Back to Top
A description of any property that a debtor may prevent creditors from recovering.
Back to Top
Back to Top
Property that the Bankruptcy Code or applicable state law permits a debtor to keep from creditors.
Back to Top
Back to Top
Property or value in property that a debtor is allowed to retain, free from the claims of creditors who do not have liens.
Back to Top
Back to Top
A bankruptcy case filed either without schedules or with incomplete schedules listing few creditors and debts. (Face sheet filings are often made for the purpose of delaying an eviction or foreclosure.)
Back to Top
Back to Top
An individual, individual and spouse, corporation, or partnership engaged in a farming operation who meet certain debt limits and other statutory criteria for filing a petition under chapter 12.
Back to Top
Back to Top
A transfer of a debtor’s property made with intent to defraud or for which the debtor receives less than the transferred property’s value.
Back to Top
Back to Top
The characterization of a debtor’s status after bankruptcy, i.e., free of most debts. (Giving debtors a fresh start is one pur-pose of the Bankruptcy Code.)
Back to Top
Back to Top
Any relative of the debtor or of a general partner of the debtor; partnership in which the debtor is a general partner; general partner of the debtor; or corporation of which the debtor is a director, officer, or person in control.
Back to Top
Back to Top
A director, officer, or person in control of the debtor; a partnership in which the debtor is a general partner; a general partner of the debtor; or a relative of a general partner, director, officer, or per-son in control of the debtor.
Back to Top
Back to Top
A court-approved mechanism under which two or more cases can be administered together. (Assuming no conflicts of interest, these separate firms or individuals can pool their resources, hire the same professionals, etc.)
Back to Top
Back to Top
One bankruptcy petition filed by a husband and wife together.
Back to Top
Back to Top
A charge upon specific property designed to secure payment of a debt or performance of an obligation
Back to Top
Back to Top
A sale of a debtor’s property with the proceeds to be used for the benefit of creditors.
Back to Top
Back to Top
A creditor’s claim for a fixed amount of money.
Back to Top
Back to Top
A request by a creditor to allow the creditor to take an action against a debtor or the debtor’s property that would otherwise be prohibited by the automatic stay.
Back to Top
Back to Top
A chapter 7 case where there are no assets available to satisfy any portion of the creditors’ unsecured claims.
Back to Top
Back to Top
A debt that cannot be eliminated in bankruptcy.
Back to Top
Back to Top
A trustee’s or creditor’s objection to the debtor’s being released from personal liability for certain dischargeable debts
Back to Top
Back to Top
A trustee’s or creditor’s objection to a debtor’s attempt to claim certain property as exempt, i.e., not liable for any prepetition debt of the debtor.
Back to Top
Back to Top
A party who is actually and substantially interested in the subject matter, as distinguished from one who has only a nominal on technical interest in it.
Back to Top
Back to Top
A debtor’s detailed description of how the debtor proposes to pay creditors’ claims over a fixed period of time.
Back to Top
Back to Top
A person or business that files a formal complaint with the court.
Back to Top
Back to Top
A transfer of a debtor’s property made after the commencement of the case.
Back to Top
Back to Top
The arrangement (or rearrangement) of a debtor’s property to allow the debtor to take maximum advantage of exemptions. (Prebankruptcy planning typically includes converting nonexempt assets into exempt assets.)
Back to Top
Back to Top
A debt payment made to a creditor in the 90-day period before a debtor files bankruptcy (or within one year if the creditor was an insider) that gives the creditor more than the creditor would receive in the debtor’s chapter 7 case.
Back to Top
Back to Top
The Bankruptcy Code’s statutory ranking of unsecured claims that determines the order in which unsecured claims will be paid if there is not enough money to pay all unsecured claims in full.
Back to Top
Back to Top
An unsecured claim that is entitled to be paid ahead of other unsecured claims that are not entitled to priority status. Priority refers to the order in which these unsecured claims are to be paid.
Back to Top
Back to Top
A written statement describing the reason a debtor owes a creditor money. (There is an official form for this purpose.)
Back to Top
Back to Top
All legal or equitable interests of the debtor in property as of the commencement of the case.
Back to Top
Back to Top
An agreement by a chapter 7 debtor to continue paying a dischargeable debt after the bankruptcy, usually for the purpose of keeping collateral or mort-gaged property that would otherwise be subject to repossession.
Back to Top
Back to Top
An individual or business holding a claim against the debtor that is secured by a lien on property of the estate or that is subject to a right of setoff.
Back to Top
Back to Top
Debt backed by a mortgage, pledge of collateral, or other lien; debt for which the creditor has the right to pursue specific pledged property upon default.
Back to Top
Back to Top
Lists submitted by the debtor along with the petition (or shortly thereafter) showing the debtor’s assets, liabilities, and other financial information. (There are official forms a debtor must use.)
Back to Top
Back to Top
A series of questions the debtor must answer in writing concerning sources of income, transfers of property, lawsuits by creditors, etc. (There is an official form a debtor must use.)
Back to Top
Back to Top
A declaration made by a chapter 7 debtor concerning plans for dealing with consumer debts that are secured by property of the estate.
Back to Top
Back to Top
The characterization of a bankruptcy case filed by an individual whose debts are primarily consumer debts where the court finds that the granting of relief would be an abuse of chapter 7 because, for example, the debtor can pay its debts.
Back to Top
Back to Top
Putting the assets and liabilities of two or more related debtors into a single pool to pay creditors. (Courts are reluctant to allow substantive consolidation since the action must not only justify the benefit that one set of creditors receives, but also the harm that other creditors suffer as a result.)
Back to Top
Back to Top
A meeting of creditors at which the debtor is questioned under oath by creditors, a trustee, examiner, or the United States trustee about his/her financial affairs.
Back to Top
Back to Top
Any mode or means by which a debtor disposes of or parts with his/her property.
Back to Top
Back to Top
The representative of the bankruptcy estate who exercises statutory powers, principally for the benefit of the unsecured creditors, under the general supervision of the court and the direct supervision of the United States trustee or Bankruptcy Administrator.
Back to Top
Back to Top
An officer of the Justice Department responsible for supervising the administration of bankruptcy cases, estates, and trustees, monitoring plans and disclosure statements, monitoring creditors’ committees, monitoring fee applications, and performing other statutory duties.
Back to Top
Back to Top
A debt secured by property that is worth less than the amount of the debt.
Back to Top
Back to Top
A lawsuit brought by a landlord against a tenant to evict the tenant from rental property—usually for non-payment of rent.
Back to Top
Back to Top
A claim for which a specific value has not been determined.
Back to Top
Back to Top
A debt that should have been listed by a debtor in the schedules filed with the court but was not. (Depending on the circumstances, an unscheduled debt may or may not be discharged.)
Back to Top
Back to Top
A claim or debt for which a creditor holds no special assurance of payment, such as a mortgage or lien; a debt for which credit was extended based solely upon the creditor’s assessment of the debtor’s future ability to pay.
Back to Top
Back to Top
A transfer of a debtor’s property with the debtor’s consent.
Back to Top
|
