Refile Ch. 13 after Dismissal, or Motion to Reinstate?

[TurnThePage]

Is there such a thing as a Motion to Reinstate a Ch. 13 Dismissal? The Judge denied my Motion for additional time to file the required schedules. I imagine the process of reinstating a dismissed 13 is overly complicated, having to serve the creditors, trustee, etc., and scheduling a hearing in 14 days where they can object.

The other option would be to refile the Ch. 13, pay another $313, but with only a 30 day window for the automatic stay. In theory could the creditor still replevin the collateral through state court, or could I transfer that case to the bankruptcy court? I'm deep in unchartered waters now. What are your thoughts, Des?

[despritfreya]

You need to check local rules. In my district, a motion to reinstate is automatically granted if AND ONLY IF, the reason for the dismissal has been corrected before the Motion is filed. Having said this, the matter needs to be resolved QUICKLY as anything "bad" that happens between the dismissal date and the date the Order reinstating hits the docket is not going to be undone.

Des.

[TurnThePage]

Thanks Des -- useful information as always. Depending upon the procedures, who I need to notify, etc., I'm thinking it might be in my best interest to reset the clock, pay the "penalty" in a sense, and start over -- provided I can convince the Court that my second filing is not done in "bad faith," and that I can grant a motion extending the automatic stay.

[TurnThePage]

What I'm most concerned about, refiling versus reinstatement, is that it appears that I have to set a "hearing date," which could be 14 days, versus the 5 day notice for a replevin "show cause" hearing. So it becomes a legal race, whereas I can refile the Ch. 13 immediately with the 30 day shield.

[justbroke]

You'll have other issues too. If you dismiss and refile, you already understand that you need your "first day" motions (such as one to continue the automatic stay). The procedural stuff will kill your case, as you're now noticing. I'd rather get a case reinstated than try to refile. You refile, that's another case number and if you have certain types of professional licenses or security clearances, or intend to get them in the future, it can be problematic. (It can effect you for more than 10 years when it comes to certain licenses and security clearances.)

To me, it reads as though a refiling would use the stay to just hold off a particular creditor. Is it bad faith? I don't know, but why not just get this reinstatement done within the 14 days allowed. You filed a skeleton case and had 14 days to file the rest of the schedules. With the dismissal, that's another, approximately, 14 days.

What is the issue? Can you go to a Pro Bono clinic and just get help with the forms?

I don't recommend waiting the entire 14 days. As Des mentioned, you no longer have the protection of the stay. I would reinstate as it's easier. It may take you 20 hours over 2 days to get the paperwork completed. At least get it in, and if there's a deficiency, the clerk will give you time to fix a deficiency.

Not filing the remaining paperwork after an emergency filing will never be allowed. If you do it twice, you'll be barred from filing for 180 days and there will be no automatic stay.

I'd rather see you hunker down and get this done in the next 5 days so you're well under the 14-day limit on reconsideration / reinstatement of the judge's final order.