Question: Utilities being disconnected during Automatic Stay?

[NCGirl2010]

Been a lurker for months, first time posting and need some guidance regarding utility disconnects during Automatic Stay. DH & I filed Chapter 7 on 12.17.10 with a retained attorney, 341 mtg scheduled 1.19.11.

We are currently 7 days late paying our utility bill (electric/water/gas/sewer) and received a disconnect notice 4 days ago. Our utilities are scheduled to be disconnected today (1.13.11) at 5 PM if payment is not received; however, the bill w/ late fees is scheduled to draw out of our checking account via online bill pay tomorrow (1.14.11) when DH's paycheck is direct deposited. I have tried (unsuccessfully) to get in touch w/ either our attorney &/or paralegal every day this week, but with the bad winter weather, one can safely assume their office is closed. I have also tried to call the local utility company (city) with no success.

I am trying in vain to get an answer to whether or not they can legally disconnect our service during an Automatic Stay? I might add that we have only lived here in NC for 8 months and paid a hefty security deposit of $500 to the city. It's sad that I had the same utility company in VA for 10 yrs with only TWO late payments during that time and still had to pay a security deposit. I would also like to add that we have a 13 yr old child, too, living here.

Could someone please shed some light on our situation? Thank you.

[despritfreya]

The Automatic Stay does not protect you from a post petition default.

Des.

[tobee43]

i think or at least hope there are laws preventing the utility company from turning your utilities off during inclement weather conditions. i know my daughter lives in north carolina and yesterday they were still in a state of emergency....

i would call the utilities company and let them know...see if they can give you some time. let them know you have a child...i'm just so sorry for you and what you and your family are going through..

best of luck and let us know how you make out!!

edit: didn't see des's post....and he's got the legal scoop on the stay....so i would deal with the company directly....work with them. just a note...we always kept up all of our utilities during bk...actually nothing else...they came first other than food.

[NCGirl2010]

Des - thank you for your prompt reply; it is much appreciated! My hope is that maybe with the inclement weather, the city might wait a day or two and our payment will be received. Again, thank you.

[frogger]

My hope is that maybe with the inclement weather, the city might wait a day or two and our payment will be received. Again, thank you.

Doubtful. You need to check in your area for organizations or religious organizations that might have a relief fund. If you will have the money in a day or two, perhaps you could even offer to pay them back.

[NCGirl2010]

I was finally able to get in touch with someone at the utility company and thankfully they were more than understanding and allowed us a 2 week grace period to pay the bill (even though I just needed until tomorrow morning).

Normally, the utilities & rent are the first things to get paid and we make do with whatever is left over for groceries, etc. However, we found ourselves in the red again after making the final payment to our attorney last month and paying for my medications and treatments.

[tobee43]

I was finally able to get in touch with someone at the utility company and thankfully they were more than understanding and allowed us a 2 week grace period to pay the bill (even though I just needed until tomorrow morning).

Normally, the utilities & rent are the first things to get paid and we make do with whatever is left over for groceries, etc. However, we found ourselves in the red again after making the final payment to our attorney last month and paying for my medications and treatments.

oh, i'm so glad to hear that!! that's great...i'm certain they are use to hearing it all at this point and were probably happy you called....just my thoughts...but to me it's always better to be pro-active. so that's good you will able to pay them tomorrow...it will make it look good in their eyes. i'm certain.

[tcreegan]

Hi all,

since there have been a few utilities posts lately I just wanted to throw in that there is a state commission/agency/office that regulates utilities and has the rules they follow and what your options are. Different names, but there is one in each state.

...just a handy fact in case anyone needs it...

Tom in Colo