Defending yourself from the trustee, creditors, or the court.
Some bankruptcies can get much more complex when litigation becomes necessary. This can include actions against or defending from the trustee, non-dischargeability complaints, objection to discharge, objections to exemptions, and more. These cases require extensive knowledge of bankruptcy law and the overlap with other areas of the law.
What action can creditors take when you file a bankruptcy?
Most Chapter 7 bankruptcies go through without a hitch but complications can arise, particularly if one of the creditors has an axe to grind, such as a former business partner, or a spouse. Creditor can object to the discharge of their debt but there are only very limited bases for having a debt determined to be non-dischargeable. A Trustee can seek to sell assets or object to the exemption of a debt but this too is quite rare. A person who has repaid debts to friends or relatives in the past year or who has given property away or sold it for less than full value may find that these transactions give rise to litigation in their case.