Bankruptcy Litigation
Personal Bankruptcy > Bankruptcy Litigation > Discharge and Dischargeability Actions
Discharge and Dischargeability Actions
People who file a bankruptcy case want to receive a discharge. This discharge eliminates future liability from most, if not all debts. Sometimes, a creditor might sue to prevent the discharge from affecting a particular debt. This is called a “complaint to determine dischargeability of debt.” A debt may be non-dischargeable for many reasons. Here are some:
- The debt was procured by fraud
- The debt was procured by false pretense
- The debt was a result of defalcation, theft or embezzlement
- The debt is a recent tax debt or other debt to a governmental agency
- The debt is for a domestic support obligation like alimony or child support
Sometimes, a creditor or a trustee might sue to bar the debtor’s discharge in its totality. This is called a “complaint to bar discharge.” Here are some circumstances which might lead to a complaint to bar discharge:
- Material false statement on your bankruptcy petition or schedules
- Fraudulent transfers to a third party within one year of the date you filed your bankruptcy case
- Failure to maintain and produce adequate records
- Failure to obey court orders in connection with your bankruptcy case
- Material false statements during the course of your examination under oath by the bankruptcy trustee.
Whether you are the plaintiff or the defendant in a discharge or dischargeability action, Lakelaw can represent you effectively, efficiently and economically. Click
here to read David P. Leibowitz’ presentation to the Chicago Bar Association on dischargeability claims.
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