Bankruptcy Creditors' Rights

California Bankruptcy Attorneys Represent Creditors

Lawyers advocate for creditors' rights in the El Centro area

While bankruptcy laws work for the good of individuals who have fallen on hard times, they can be harsh on creditors who are forced to absorb a loss that helps finance the debtor’s fresh start. However, if you’ve received a notice of bankruptcy by someone who owes you money, don’t assume that you have no rights. At Michael A. Salorio, we help creditors throughout California assert their rights in Chapter 7, 11 and 13 bankruptcy proceedings. We know the bankruptcy code and can advise you on the steps to take to improve your chances of being repaid.

California advocates explain what the automatic stay means for creditors

An automatic stay is an injunction by the bankruptcy court that immediately prohibits creditors from seeking repayment of money owned by a debtor. It doesn’t mean you’re out of luck, but it does mean any efforts to recover what you are owed must be directed toward the court. We assist creditors in reviewing a debtor’s bankruptcy petition to see precisely where opportunities exist for the creditor to advance his claim. We are careful in meeting the court deadlines, which come quickly and require detailed responses.

Skilled advisers help clients deal with secured versus unsecured debt

A loan that is secured by collateral gives the creditor a lien against a debtor’s asset. This is a huge advantage in bankruptcy court, where secured creditors go to the head of the line. Often the issue is cut and dried, but where there is ambiguity about whether a debt is secured or unsecured, a skilled attorney can make the difference to a creditor’s chances of recovery.

Experienced lawyers hold debtors to the honesty requirement

The U.S. Supreme Court has stated that the Bankruptcy Code “gives to the honest but unfortunate debtor...a new opportunity in life…." If the debtor took on the debt in bad faith or through some kind of dishonest manipulation, he can’t discharge that debt. Likewise, if you believe there is misrepresentation or fraud in the debtor’s bankruptcy petition, such as attempting to hide assets, you must bring those objections to the court. An experienced bankruptcy attorney can present a clear and convincing argument to advance your cause.

Contact a California bankruptcy attorney representing creditors' rights

If you delay asserting your rights to collect on payments due you, you can easily lose them. Call Michael A. Salorio in El Centro today at 760-372-0378 or contact us online to schedule a consultation with a bankruptcy attorney dedicated to helping creditors.

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