Non-assumed lease up in middle of 60 days..what happens?

[doingpoorly]

I have a lease car that I am not assuming. The original lease ends at the end of this month. I have not heard anything from the lessor and they have not filed for a relief of stay, yet.
What am I to do in this situation? For some reason I think that it is a problem because my agreement/lease will be over before they are in possession of the car. Is it possible that I will have the car until after my 60 days is over?

Because it is a lease and the lease is up will I then be in possession of a car without any legal right to be? I guess I just don't understand how this works since the lease is up during the stay period.

[justbroke]

The lease company is probably saving money by not taking any Motion for Relief From the Automatic Stay (MFRS) because it would be a waste. Since the lease is up, they may just wait for the case to close before repossessing or contacting you about what your intentions are. Just becuase they haven't filed an MFRS now, doesn't mean that they won't.

Since you appear to be a no-asset case, you'll probably close quickly after discharge. The lessor may be anticipating a quick close and is just saving the $500+ that it would cost them in legal fees to prepare and file the MFRS.

You should be prepared to lose the car after discharge and/or close.

[doingpoorly]

I thought they might not do anything because it would cost more than it would be worth. I am prepared for them to take it at any time. I do have a vehicle to drive, I would however prefer to drive the lease car as long as possible, for reliability, because the car I own has 210,000 miles on it.

My concern is having a car that I may have no contractual right to have. If I rented a car from someplace like Avis or Budget and I didn't return it on time then they would consider it stolen. Is a lease like a rental in that way? Will the car be considered stolen or will I have some other problem because I am no longer under contract to have the vehicle?

[justbroke]

Will the car be considered stolen or will I have some other problem because I am no longer under contract to have the vehicle?

Since it's a lease, you never did own the vehicle. You would need to return it at some point. Did your lawyer not suggest what to do once you receive your discharge?

[doingpoorly]

Since it's a lease, you never did own the vehicle. You would need to return it at some point. Did your lawyer not suggest what to do once you receive your discharge?

Right, I don't /never did own it, it is just a lease.

I really thought that I would have to return it at the end of the lease. (end of Sept) but I have not heard from lease company yet (because they are not allowed to contact me).
I am prepared to give it to them as soon as they either file for a relief of stay or at the end of my 60 days. Since the lease terminates before my 60 days is up I am just wondering if it is a problem having it in my possession during the time between lease end and 60 days.
Lawyer didn't suggest anything since I didn't ask about it because I didn't think of this until now.

[justbroke]

I might be inclined to send my attorney an e-mail on this. The lessor is being extremely careful, and probably wouldn't even allow you to give it back to them until the case is discharged and/or closed.

[doingpoorly]

I might be inclined to send my attorney an e-mail on this. The lessor is being extremely careful, and probably wouldn't even allow you to give it back to them until the case is discharged and/or closed.

Thanks for your replies.

I do intend to e-mail attorney on Monday. I wish they were available when I actually first think of a question, which always happens on a weekend. BTW- I only get sick and need medical attention on weekends as well. LOL

Curious- what would be the disadvantage to the lessor if I contacted them and said I wanted them to take their car before the case is discharged and I was the one to initiate it.

[justbroke]

Curious- what would be the disadvantage to the lessor if I contacted them and said I wanted them to take their car before the case is discharged and I was the one to initiate it.

Well, you may have done that without talking to your attorney. And, they would be in violation of the stay anyhow. The automatic stay can't be rescinded by you. Being extremely cautious, I wouldn't even talk to a debtor in active Bankruptcy, which is why you get the silent treatment from your creditors.

Did you list an intention to reject the lease? It's automatically rejected after so many days anyhow, but the lessor may still be just being overly cautious on this. If I were them, and I'm not, I might not want to take the car from you... even if you brought it to me and signed something.

[doingpoorly]

Ahhh Ok. I thought that the stay was only for them, not me. I thought that I could talk to them all I wanted. Not that I want to or that I have, I don't and haven't.

I did list my intention to reject the lease on my petition. They didn't get the notice of filing for some time as they kept leaving messages on phone until last week. I finally answered them one day and told them we filed and they case # and hung up. They didn't ask anything about our intent. I have not heard from them since, they are playing by the rules.

It would make sense for them to just let it go until the 60 days is up and then arrange P/U. In the grand scheme of things it is just and extra 45 days and a drop in the bucket to them. To me it is f o r t y- f i v e extra days with a reliable car.

[justbroke]

Ahhh Ok. I thought that the stay was only for them, not me. I thought that I could talk to them all I wanted. Not that I want to or that I have, I don't and haven't.

No, the stay is for you, but reading several Trustee debtor's guides, they all read that debtors should NEVER talk to the creditors. If you are represented, your attorney will usually get mad too.

I did list my intention to reject the lease on my petition. They didn't get the notice of filing for some time as they kept leaving messages on phone until last week. I finally answered them one day and told them we filed and they case # and hung up. They didn't ask anything about our intent. I have not heard from them since, they are playing by the rules.

Ah, so maybe they are just behind a little. That makes sense now, that they haven't filed any MFRS. They may still actually file one.

[doingpoorly]

justbroke- thank you for taking the time to share your thoughts on this issue with me.

I will be waiting and watching for them to file for relief of stay and give the car back when they ask for it, until then I will not contact them.

thanks again