What does an automatic stay cover on my bankruptcy file? 15 Answers as of June 26, 2013

I file personal chapter 13 bankrupcy and im 100% owner of the company that ownes commercial real estate. My question is does automatic stay extend to the commercial properties and stop the foreclosure (sheriff sale) ?

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Mauritz Van Niekerk, Attorneys at Law
Mauritz Van Niekerk, Attorneys at Law | Christiaan van Niekerk
Why did your attorney that filed the Chapter 13 not explain that to you?
Answer Applies to: New York
Replied: 6/26/2013
Mercado & Hartung, PLLC
Mercado & Hartung, PLLC | Christopher J. Mercado
the automatic stay will stop the property from being foreclosed on. the lender cannot act unless it moves from relief from stay
Answer Applies to: Washington
Replied: 7/22/2011
The Law Office of Mark J. Markus
The Law Office of Mark J. Markus | Mark Markus
No. The only circumstance under which it might stop the foreclosure, and I'm not sure that it would, is if you personally owe the money on the mortgages on the corporation's property.
Answer Applies to: California
Replied: 7/21/2011
Law Office of Harry L Styron
Law Office of Harry L Styron | Harry L Styron
If the property is in your name the filing of the Chapter 13 stays all enforcement actions, including foreclosure.
Answer Applies to: California
Replied: 7/21/2011
Apple Law Firm PLLC
Apple Law Firm PLLC | David Goldman
Only if you are personally a party to the lawsuit
Answer Applies to: Florida
Replied: 7/21/2011
    Janet A. Lawson Bankruptcy Attorney
    Janet A. Lawson Bankruptcy Attorney | Janet Lawson
    See a lawyer now. Who filed the ch13. Hopefully you did not do this yourself. If your lawyer can't answer this question, get another one. It is hard for me to believe that you, as an individual, did not sign the loan docs on the commercial property. The other part of the question is of concern. You said "commercial properties" as in more than one. There are debt limits in Ch13. What is the total secured debt? If you are pushing the 1m mark the math is critical.
    Answer Applies to: California
    Replied: 7/21/2011
    Carballo Law Offices
    Carballo Law Offices | Tony E. Carballo
    Very interesting and sophisticated question! If the company you own is a corporation or LLC and you are a shareholder then the automatic stay in your personal bankruptcy case does not protect property owned by the corporation or LLC. You have no ownership interest in the property directly. You own the legal entity that owns the real estate. I recently had to research is this issue (in a Chapter 7 case) and would love to have bankruptcy lawyer out there tell me I am wrong and give me a citation supporting that view. However, if you have personal liability for the debts of the corporation or LLC you could argue that the Chapter 13 co-debtor stay applies. Your question certainly requires that you consult with your own lawyer (hopefully your have one since you are doing a Chapter 13 and it would be insane not to have one in a Chapter 13 case).
    Answer Applies to: California
    Replied: 7/21/2011
    Bankruptcy Law office of Bill Rubendall
    Bankruptcy Law office of Bill Rubendall | William M. Rubendall
    The automatic stay pertains to property of the estate. A corporation's assets are not subject to the automatic stay of an individual's filing.
    Answer Applies to: California
    Replied: 7/21/2011
    Colorado Legal Solutions
    Colorado Legal Solutions | Stephen Harkess
    If you are personally liable on the mortgages then your bankruptcy will likely have an effect on the foreclosure sale. If the only borrower is your company, then your bankruptcy will not stop the foreclosure sale.
    Answer Applies to: Colorado
    Replied: 7/21/2011
    Bird & VanDyke, Inc.
    Bird & VanDyke, Inc. | David VanDyke
    Yes it will stop and creditor actions including foreclosures etc. However as mortgages are secured debts they must be paid through your chap 13 plan. So if you file bk and come up with an acceptable plan you will be able to keep the properties.
    Answer Applies to: California
    Replied: 7/21/2011
    Law Office of J. Thomas Black, P.C.
    Law Office of J. Thomas Black, P.C. | J. Thomas Black
    Not if your "company" is a separate entity such as a corporation or LLC. If you have an attorney, you need to address your questions to them. If you don't have an attorney, you need one.
    Answer Applies to: Texas
    Replied: 7/21/2011
    Law Office of Maureen O' Malley
    Law Office of Maureen O' Malley | Maureen O'Malley
    Yes, if you have any personal liability.
    Answer Applies to: Virginia
    Replied: 7/21/2011
    Ashman Law Office
    Ashman Law Office | Glen Edward Ashman
    If the properties are owned by a corporation and you are not personally on the debt, your individual filing has no effect on that foreclosure.
    Answer Applies to: Georgia
    Replied: 7/21/2011
    Law Office of Abel L. Pierre
    Law Office of Abel L. Pierre | Abel L. Pierre, Esq.
    The automatic stay on a bankruptcy will cover any debt that you list as yours on the bankruptcy petition. If you are a personal guarantor on the business debt, then you should list it on the petition. The bankrupcy filing will then prevent the sheriff sale from going through as long as the sheriff is notified of the filing prior to the sale. Also the automatic stay only goes applies for up to 2 filings. You may not file bankruptcy multiple times and still avail yourself of the automatic stay.
    Answer Applies to: New York
    Replied: 7/21/2011
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