bankruptcy adversary proceeding complaint

Bankruptcy-Adversary Proceeding (PROFESSIONAL RESPONSES ONLY)?

Well, the FIA (creditor) filed a complaint (adversary proceeding) against me and I have about 20 days to respond. If I do not respond nor go to court if they proceeding with a hearing, what will happen? My lawyer tells me that I will have really bad credit. She also says I don’t have to go to court either but will face a lose in this litigation if it goes to court. Even if I lose and they want me to pay, I will not pay. So what would be the best move?

You have a lawyer and you’re asking this question HERE?

If a complaint has been filed, you should respond. If you don’t, they will probably win a default judgment against you. The same thing will probably happen if you don’t go to court.

A judgment may be reported to the credit agencies, who will maintain it on your credit report for several years. This will have absolutely no bearing on whether or not you will have to repay whatever debt they are claiming you owe them.

If you lose and don’t pay, they can go back to court and attempt to get the judgment enforced by having the court order your wages garnished, or possibly having a sheriff seize your assets in order to sell them. All of these things are bad.

If you’re broke and don;t have any assets, you’re what’s commonly called “judgment-proof.” This isn’t great, but there’s not a lot they can take if you don;t have any money. All they will be able to do is, if you don’t answer the complaint, don’t show up in court, or lose in court, is ruin your credit, and have the ability to take your stuff in the future, should you eventually get any.

You should REALLY talk to your lawyer again. This is the kind of problem that only gets much, much worse if you ignore it. Once they’ve filed paperwork, they arn’t just going to go away.