An adversary complaint is a separate lawsuit filed in the US Bankruptcy Court seeking to deny the debtor the bankruptcy discharge and possibly to enter a judgment against the debtor. The adversary complaint may seek to deny the discharge as to all creditors or as to only the particular creditor who filed the lawsuit. An adversary complaint typically relates to debtor’s bad behavior before the bankruptcy was filed or bad behavior in connection with the bankruptcy case itself.
A typical adversary complaint is filed by a creditor who believes it was wronged by debtor’s bad behavior prior to the bankruptcy case being filed. Examples of debtor’s wrongful behavior relate to: incurring credit card debt without the ability or intent to repay; taking payday loans without the ability or intent to repay; alimony; child support; taxes; fraud; false representations; false pretenses; breach of fiduciary duty; embezzlement; larceny; or willful and malicious injury.
Adversary complaints also could be filed by a standing trustee or the U.S. Trustee who believes a debtor engaged in wrongful behavior in connection with the bankruptcy case. Examples of debtor’s wrongful behavior relate to: making fraudulent oaths; making false claims; transferring or destroying property with an intent to hinder, delay or default a creditors; concealing, destroying, or failing to maintain books and records; failing to explain the loss of assets; and refusing to obey any court order.
Your Bankruptcy Advisor Blog By: Attorney Robert Schaller (Bob's bio) of the Schaller Law Firm Click for Bankruptcy Lawyer Job Opportunities. You are invited to contact Attorney Schaller at 630-655-1233 or visit his website at Discharging Student Loans to learn about how the bankruptcy laws can help you. Bob is a member of the National Bankruptcy College Attorney Network, American Bankruptcy Institute and the National Association of Consumer Bankruptcy Attorneys. For information about Chapter 7 bankruptcy Click Here
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Monday, May 17, 2010
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