What happens after 341 hearing with house? Please help.

[filingsoon]

I've read through many posts and have a question, how long does one have to leave the house after a 341 hearing?

Boyfriends house not re-affirming
The original sale date was 04/04/11.
Chapter 7 BK filed on 03/28/11.
341 hearing is on 05/02/11 (Monday)
Trustee sale is scheduled for 05/04/11 (Wednesday)

When should he be ready to move out? The house is in Gresham, Oregon, non-judicial state and the lender is Wells Fargo.

By the way, did they need to send him another notice about the date change because they never did, I just found out by calling the trustee's automated system where you can check the date.

If anyone can clue us in, it would be really helpful. I know in Oregon they can file an eviction to have him move, but do they ask first before filing one? I've heard of cash for keys but don't really understand it.

Should we call Wells now before the 341?

Please help, I have no clue where to find the answer.

[despritfreya]

Typically the filing of the bk will delay the Trustee Sale (T/S) of the home by 3 months. The T/S set for this week will not happen as it appears that Wells Fargo has not sought an Order lifting the automatic stay. The timing of the 341 is not relevant. What is relevant is the lifting of the Stay. Wells will, at some point, file a Motion to Lift the Automatic Stay. The Judge will sign an Order approving the Motion about 20 days thereafter. The Order Lifting the Stay will have a built in 14 day delay before it becomes "effective". Between now and the time the lender can do the sale, Wells will simply "roll" the date. No additional notice will be sent. However, if you look at the Notice of Trustee Sale originally issued there will be a phone number listed for "Trustee Sales Information". You can call it and a recording will tell you the "rollover" date. If there is no recorded information line just call whoever is handling the T/S and ask for the new date. Continue to check each month until you know the Stay has been lifted.

I do not know Oregon eviction procedure therefore I cannot comment on it, however, you might want to Google “cash for keys”.

Des.

[filingsoon]

Is the stay in effect until the 341 hearing or until discharge?

Since the 341 is Monday and the current sale date is Wednesday I'm thinking just until the 341?

Wells Fargo never filed a Motion to Lift the Automatic Stay since the 341 was only a month or so after the filing of the BK.

He did get a letter from an attorney saying he has joined the case, but no other documents have been sent, so I assume at some point they after the 341 they will file a motion to lift the automatic stay? I'm hoping he can stay until the end of the month, but if not then he might have to move twice since my new apartment won't be ready until June 3rd and I don't have space to store his belongings until then.

[despritfreya]

Under 11 USC 362(c)(1), unless the Court lifts the stay earlier (usually as a result of a Motion for Relief filed by the creditor), the stay remains in effect until the property is no longer property of the estate. The property is removed from the estate when the Trustee abandons it. Abandonment either happens when the case is closed (not discharged) or 14 days after the Trustee files a Notice of Abandonment, whichever happens 1st. The 341 meeting has nothing to do with the lifting of the stay as it relates to real estate and creditors do not have to wait until after the 341.

Under 11 USC 362(c)(2), the stay against "the debtor", thus the debtor's property rights, continues until the entry of the discharge. So, even if the stay against the debtor is lifted, if the property has not been abandoned, the stay against it has not been lifted. This is why secured creditors typically file Motions to Lift the Stay even after a discharge is entered.

Since the lender’s attorney has filed a Notice of Appearance you should expect the filing of a Motion for Relief within the next 30 to 45 days. He still has time in the property.

Des.

[filingsoon]

Thank you now I have some peace of mind! Now let the packing continue.