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  1. #1
    Join Date
    Sep 2013
    Posts
    14

    Default Personal Injury Lawsuit in Chapter 13

    My question involves bankruptcy in the state of: NY
    I filed a bk 13 after already a plaintiff in a personal injury lawsuit (non-creditor.) I listed the pending suit on my bk petition as contingent and unliquidated. The attorney handling my lawsuit says the lawsuit is stayed because of the bk. I do plan on cancelling my bankruptcy, but not until I get a mortgage modification. I don't want to cancel premature as I have 522 orders to ignore judgments and I need them in order to complete the loan mod. It doesn't seem correct to me that the bk would stay an action where I'm the plaintiff. Is this correct?

  2. #2
    Join Date
    Sep 2010
    Posts
    478

    Default Re: Personal Injury Lawsuit in Chapter 13

    You are correct. The automatic stay does not apply against the debtor. What does apply is the fact that your PI claim is an asset of the bk estate. Your PI attny cannot move forward with the case until he is appointed by the bk court to represent you as well as the bk estate. We hire special counsel to pursue such claims as a routine matter.

    You state you are going to dismiss your chapter 13. You need to discuss this and prosecuting the PI claim with your bk attny.

    Des.

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