Can my creditor challenge my bankruptcy discharge? 17 Answers as of June 16, 2011

There are reasons to challenge a discharge such as fraud and abuse but there must be something illegal or improper done by you that would give the court grounds to punish you by denying you a discharge. If you are honest in your petition and disclose everything and have competent legal representation you have nothing to fear.

Only if the debt was obtained by fraud or a false financial statement, or if you committed fraud by stating false information or failing to state correct information in your bankruptcy papers. In many states, the condo fees which come due after you file are collectible from you as they are not discharged in the bankruptcy.

Any creditor can object to the discharge of their debt if they have grounds for doing so. The grounds are set forth in 11 USC 523 (and 1328) and includes debts incurred by fraud, willful and malicious injury, certain taxes, student loans, domestic support obligations, and several more. I'm not sure what basis your HOA can object, but I don't have all the facts. They do have a lien, however, so the lien will remain against your property regardless of what happens in the bankruptcy case.

No they cannot usually contest your discharge. However, only pre filing hoa dues are dischargeable. Post filing hoa dues are not dischargeable. In other words if you still own the property and the bank has not foreclosed on it you will owe hoa dues from the date of your filing until the bank takes the property back. This is one of the very few exceptions in bk law.

*Challenge by Creditor.* While theoretically any creditor can challenge your bankruptcy discharge, the law will not listen to a creditor challenge unless there are grounds under bankruptcy law to make such a challenge. These are spelled out in 11 USC 523 and include obtaining credit by fraud, causing willful, malicious injury. Some debts are by law not dischargeable. These related to support obligations, payroll tax obligations and recent income tax obligations. *Condo liens* Bankruptcy Chapter 7 will wipe out condo debts due prior to filing bk. If they have recorded a lien, that lien may survive the bankruptcy and you will have to pay it, if you ever sell the home or refinance it. Condo dues coming due after the filing of the Chapter 7 do not get wiped out.

The association can't object to discharge unless they allege some kind of fraud. However, association dues and fees are "secured" with a lien on your condo.The discharge doesn't remove liens.If you intend to keep your condo, you'll have to find some way to pay their charges.

HOA dues can survive BK if the property is still legally yours.

Creditors can object to some debts being discharged. HOA fees do not fall into that category.

I think not. Those fees are dischargeable. You should even be able to get the lien released.

This is a question you should be discussing with your bankruptcy lawyer. If you made the very foolish and dangerous mistake of filing without a lawyer, your question shows how far over your head you are. Get a lawyer. Even if the debt is dischargeable, bankruptcy does NOT erase certain liens (and other liens cannot be eliminated without the filing of a proper motion). Also, fees that accrue after filing are unaffected by the case.

There are limited grounds to objecting to discharge. This is not to be confused with an adversary proceeding to determine dischareability of a given debt. Generally, a debt must have been incurred by fraud to be nondischargeable. As to a line filed, there is a procedure to remove a judgment lien or non-purchase, non-possessory line under section 522f of the bankruptcy code. Consult a lawyer so you do not give up your rights.

Yes, any creditor can challenge the discharge after you file. They file what's called an adversary proceeding, which is a mini-trial, during which they try to prove that their debt should not be included in the bankruptcy estate.