Prosecuting Violations of the Automatic Stay

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The Automatic Stay and Bankruptcy Law

Section 362 of the Bankruptcy Code

“The Stay”

11 U.S.C. Section 362, otherwise known as the “Automatic Stay,” is perhaps the most well known section in the Bankruptcy Code. The Stay comes into play in every bankruptcy case at the moment the bankruptcy petition is filed with the Court Clerk’s office.

  • Subsection 362(a) delineates the types of matters which are “stayed.”
  • Subsection 362(b) describes the matters which are not bound by the Stay.
  • Subsection 362(c) explains the time period during which the stay operates in cases under various chapters in the Code.
  • Subsections 362(d) – (g) provide the framework for motions filed with the Bankruptcy Court for “Relief from the Stay” to enable a creditor to take action which is otherwise prohibited under subsection 362(a).

Penalties for Violations

Subsection 362(h) describes the penalties that can be assessed for violations of the Automatic Stay. It…

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I rant about issues concerning foreclosure, real estate law and any topic of interest. Normally my day job is Fashion and Costume Design. I like writing and reading interesting subjects.
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