Cancelling a Chapter 7 Bankruptcy

Bankruptcy Attorney Columbus GA

A debtor cannot cancel a bankruptcy filing. However, if he does not want to proceed with his bankruptcy filing, he can request court to dismiss the case for him. The decision of court is fair and final. Hence, debtor would have to present substantial evidence in support of his request and prove that dismissal is the best options for debtor as well as creditors under the given specific circumstances. Debtor would fare better in these endeavors if he is supported by an experienced bankruptcy attorney. Cancellation of a bankruptcy would be fine as along as debtor realizes that his finances are under his control. The cancellation would have negative implications if he chooses to file again for bankruptcy within a year after his rescission.

Prior to making decision with regard to cancellation of bankruptcy filing, examine all reasons very well. Cancellation is on discretion of bankruptcy court judge alone and they have a broad discretion as to dismissal of chapter 7 bankruptcy. Once good reason that debtor can provide facilitating a dismissal would be that creditors and debtor has reached alternate arrangements regarding paying off debts. Another would be that, debtor has undergone a change in circumstance which makes it unnecessary to file for bankruptcy. In spite of all these reasons, if judge feels that bankruptcy is indeed the best way creditors would get money owed to them, debtor might be forced to consent.

Form 20 is the generic form for all bankruptcy motions and this has to be prepared and completed as a “Motion to Dismiss”. Copies of the form have to be given in court and to all creditors involved in bankruptcy case. All parties involved in bankruptcy would be affected by a dismissal motion and hence all must be duly informed of the same. The form used for this purpose is Form 20A. The tile is “Notice of Motion to Dismiss” while rest of the form is similar to FormA and contains identical information. The notice must be served to creditors professionally and should be received by them prior to hearing. They should be given ample time to respond.

The completed Form 20A has to be submitted to bankruptcy court clerk handling the case along with filing fee for entering motion. The motion would be set for hearing on a particular date and this would be conveyed to debtor or debtor might have to keep on calling to find out.

Canceling a bankruptcy is not an easy decision and debtors should give it considerable thought before going ahead with it. Ideally, taking advice from bankruptcy attorney would be able to shed some light on the feasibility of decision with respect to current financial situation or agreements with creditors.

If you are searching for Columbus GA bankruptcy attorney or interested in filing bankruptcy, then we can help.

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