What should I do if I have been summoned by a mortgage company after my mortgage was discharged through bankruptcy? 11 Answers as of December 21, 2010

I received a civil summons from my former mortgage company after I had my mortgage discharged in bankruptcy what should I do?

Ask a Local Attorney. 100% Anonymous. Free Answers.

Free Case Evaluation by a Local Lawyer: Click here
DiManna Law Office, LLC.
DiManna Law Office, LLC. | Dawn DiManna
You should go and bring your discharge to show that it is not a valid debt.
Answer Applies to: New Hampshire
Replied: 12/21/2010
William C. Gosnell, Attorney at Law
William C. Gosnell, Attorney at Law | William C. Gosnell
You should call your bankruptcy lawyer.
Answer Applies to: Tennessee
Replied: 12/21/2010
Mankus & Marchan, LTD
Mankus & Marchan, LTD | Tony Mankus
If you correctly listed the mortgage company in you Chapter 7 bankruptcy, your debt to them should be dischargeable. However, the bank's mortgage on the property is not discharged. They may be pursuing foreclosure on the property and have to notify you, as the owner, of the foreclosure proceedings.
Answer Applies to: Illinois
Replied: 12/21/2010
Greifendorff Law Offices, PC
Greifendorff Law Offices, PC | Christine Wilton
Send the attorneys a copy of your bankruptcy discharge papers from the Court and a letter explaining that the mortgage has been discharged. If they continue with the case, they are in violation of the discharge injunction and you can sue them.

Be sure that they were listed on your petition papers as a creditor and received notice of your bankruptcy, otherwise they're not in violation if they received no notice.
Answer Applies to: California
Replied: 12/21/2010
Carballo Law Offices
Carballo Law Offices | Tony E. Carballo
The debt for the mortgage was discharged. The mortgage company can still foreclose on the property and get all they can from the sale of the property and must be happy with whatever they get from the sale.

I must assume that you are talking about a situation where there was a junior or second mortgage on the property and the holder of the first mortgage has already foreclosed and sold the property at auction. In that case you do not owe any money to the junior or second mortgage holder. The junior mortgage debt was wiped out by the sale of the property by the holder of the first mortgage.

You need to let the attorney know that you received a discharge in bankruptcy and that continuing with the lawsuit violates the permanent discharge injunction granted by the Bankruptcy Court. Send a certified letter with a copy of the Discharge and Final Decree to the attorney for the mortgage company suing you. If the case is not promptly discharged then you should consult with a bankruptcy attorney to have the Bankruptcy Court impose sanctions on the mortgage company and its attorney for contempt of court. You will be entitled to attorneys' fees and costs and the Bankruptcy Court might require the mortgage company to pay you substantial damages. The Bankruptcy Court does not like to have its orders disregarded. You need to make sure the mortgage company's attorney received your demand to dismiss the lawsuit by sending him/her a copy of the Discharge and Final Decree by certified mail with return receipt requested. This will show that they are intentionally disregarding the order by the Bankruptcy Court and will make the mortgage company and its attorney subject to severe sanctions.
Answer Applies to: California
Replied: 12/20/2010
    Law Offices of Lady Justice
    Law Offices of Lady Justice | Mona Patel
    It would be difficult to advise what to do without knowing exact details, however if you surrendered your home in your bankruptcy or were foreclosed on prior to filing bankruptcy then you may want to send a copy of your discharge papers to the mortgage servicer and/or the attorney listed on the summons.
    Answer Applies to: California
    Replied: 12/20/2010
    The Shakoori Law Group
    The Shakoori Law Group | Rachelle Shakoori
    Contact them and let them know about the bankruptcy. Maybe they did not get the bankruptcy notice. They are violating the bankruptcy discharge injunction if the debt was discharged and they are still attempting to collect on it.

    I highly recommend that you retain an experienced bankruptcy attorney in your jurisdiction to guide you through the complexities of bankruptcy law and procedure
    Answer Applies to: California
    Replied: 12/20/2010
    Janet A. Lawson Bankruptcy Attorney
    Janet A. Lawson Bankruptcy Attorney | Janet Lawson
    You need to see a lawyer. A summons is a serious matter.
    Answer Applies to: California
    Replied: 12/20/2010
    The Law Office of Mark J. Markus
    The Law Office of Mark J. Markus | Mark Markus
    First, I would be very certain about what the complaint is requesting. Are you sure they are seeking to recover money? If so, then I would start by having your attorney write their counsel a letter with a copy of your discharge notice and a brief explanation of what contempt of court means. If that doesn't work, you need to file a response in the civil case using bankruptcy discharge as a defense, and then file an Order to Show Cause re: sanctions against them in the bankruptcy court (this may require reopening your bankruptcy case first).

    If instead they are merely seeking to foreclose on their collateral, that is a completely different story and they can do that, assuming you have defaulted on your payments.
    Answer Applies to: California
    Replied: 12/20/2010
    Gus Johnson Attorney at Law
    Gus Johnson Attorney at Law | Gus Johnson
    You should call the attorney that helped you with the bankruptcy.
    Answer Applies to: South Dakota
    Replied: 12/20/2010
    Diefer Law Group, P.C.
    Diefer Law Group, P.C. | Abel Fernandez
    You need to call the mortgage company and tell them that if you receive a discharge in your bankruptcy case they are in violation of bankruptcy law.
    Answer Applies to: California
    Replied: 12/20/2010
Click to View More Answers: