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Texas Bankruptcy - Stop Lawsuits

Bankruptcy Can Stop a Lawsuit

Have you been sued? Filing Bankruptcy to Stop a Lawsuit Might be an Option.

  • Filing Bankruptcy will stop a lawsuit
  • Filing Bankruptcy can stop judgments from being entered
  • Filing Bankruptcy can protect your personal property
  • Filing Bankruptcy can get rid of your debt and dispose of the lawsuit
  • Filing Bankruptcy can reduce your debt and allow you to reorganize
  • Filing Bankruptcy can give you a fresh financial start

Bankruptcy Stops Lawsuits

If you have been served with a lawsuit or are in the middle of being sued, filing bankruptcy may be the best option to deal with the lawsuit. A lawsuit can be very costly to defend. Whether the cost is financial or emotional, a lawsuit shouldn’t be ignored, since doing so can make things even worse. Surprisingly, many people don’t bother defending a lawsuit or even getting a free initial consultation from a lawyer about it. That may be because they don’t understand the legal system, or they feel that they can’t afford to address the lawsuit. It is important to know all of your options to deal with the lawsuit or you may have worse problems later on.

For many people, filing bankruptcy can be the least costly way to stop a lawsuit, but only you can decide. The commencement of a lawsuit or an upcoming trial often prompts many lawsuit defendants to consider filing for bankruptcy. Because there are many types of lawsuits with just as many legal theories behind them, there is no one decisive answer to determine whether the filing of a lawsuit should prompt you to file bankruptcy.

Every lawsuit is unique and has its own set of facts. It’s always good to consult with a lawyer to see what you can do to address the lawsuit in bankruptcy, as well as to determine what defenses you might have to defend the suit. Filing for bankruptcy can stop a lawsuit, but the decision to file should only be made after understanding all of your bankruptcy and non-bankruptcy options to deal with the lawsuit, along with their consequences and impact.

If you are eligible to file for bankruptcy, the bankruptcy will stop a lawsuit. The automatic stay of bankruptcy is what stops lawsuits and most all other legal actions against you. Under section 362 of the United States Bankruptcy code, 11 U.S.C. 362,the automatic stay begins at the moment the bankruptcy petition is filed, sothe automatic stay will stop a lawsuit the very moment you file for bankruptcy.the automatic stay does not stop criminal prosecutions against you and does not affect any lawsuits to enforce the payment of child support, alimony or other types of divorce proceedings with the exception of proceedings to determine property division on property acquired during a marriage (equitable distribution) which may require the permission of the Bankruptcy Court.

If you have received a lawsuit, don’t ignore it. Our highly experienced Texas attorneys may be able to help. If you have been sued, don’t just ignore it. If you live in Austin, Round Rock, Houston, Katy, San Antonio, New Braunfels, Waco, Victoria, Dallas, or most anywhere in the State of Texas contact the Texas Bankruptcy Lawyers at The Law Offices Of R.J.Atkinson for a free bankruptcy evaluation to see how we can help you with the lawsuit. The Texas Bankruptcy Lawyers at The Law Offices Of R.J.Atkinson can asses the lawsuit and help you to decide if filing bankruptcy to stop the lawsuit is right for you.

Call a Texas Bankruptcy Lawyer at the Law Offices of R.J.Atkinson: 800-436-9056

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