Judgement During Bankruptcy

What is the name of your state? Oregon

We filed for bk7 on July 7, 2001 but we have a judgement listed on our credit report that says it was filed July 17, 2001. This debt was included in our bankruptcy. Doesn't all collection procedures have to stop one you file?

Since the bankruptcy, this is the only negative thing on our credit report.

Thanks in adance,

John

[AttorneyOney]

Filing for bankruptcy acts as an automatic stay of all actions to collect debts. There might be some circumstances in which entry of a judgment 10 days after filing would not be a violation of the automatic stay, but there certainly aren't many such circumstances. If the judgment was a violation of the stay, it is void and you would have a right to demand that it be vacated. If the creditor knew about your bankruptcy and did something to obtain this judgment anyway, he might be liable for damages (even punitive damages) and attorney's fees under section 362(h).

If, by some miracle, the judgment was technically entered prior to your petition and creates some sort of automatic lien under Oregon law, you might be able to avoid that lien if it impairs one of your exemptions.

If the underlying debt will be discharged, the debt created by the judgment will also be discharged.