Denail of Chapter 7 Bankrutcy

[Atlanta7]

This is a case in Chapter 7 BK where the objection to the discharge has been filed in the BK court, asking the court to deny it.

When a judge rules in these cases, is it a black-and-white ruling? Either your bankruptcy was approved or denied. Or, the judge can say bankruptcy is denied but be lenient on the debtor and don’t foreclose on the house ( even if it’s above the exemption limit), etc. Or is it all or none?

[justbroke]

I don't know what you mean by black-and-white. The ruling should be clear. The objection will either be SUSTAINED or OVERRULED. If it is sustained then the case will be dismissed upon entry of the order dismissing the case. The clerk of the bankruptcy court will send out notices to all creditors. The electronic bankruptcy noticing center (BNC) will send notices to the subscribers (such as the credit bureaus). Most creditors will know within 24-48 hours that the case was dismissed.

Now, could the judge be lenient and OVERRULE the objection? Absolutely. But the court must based it on the statute (the law) and not on their feelings. As one of the Florida judges wrote in an opinion about a debtor who was providing support for his girlfriend and her children, the court has no choice but to dismiss the Chapter 7 petition. The judge, I think it was Williamson, opined that it was a harsh result but the court had no choice. The judge should operate on the law and not on the feelings of the litigants.

Hopefully your judge comes back and overrules the objection. Even if the court does sustain, your attorney can motion for reconsideration and even appeal.

Your attorney is probably the best person to find out what your chances are for an overrule. Even they may just guess and say it's 50-50 and it's "up to the judge."

I wish you the best.