Bankruptcy laws are super powerful and carry penalties when violated by creditors who attempt to enforce claims against debtors who have been declared bankrupt. Any judgment or decree against the bankrupt debtor becomes legally unenforceable.
A discharge order is generally granted by a bankruptcy court under section 11 of the bankruptcy law. This order cancels the debtor's obligation to repay any debt completely. This order even covers debt where a lawsuit is pending or a judgment has been issued.
In case of any issue, you can hire a New York bankruptcy lawyer. The bankruptcy law thwarts economic enslavement. It protects those rights which we think are self-evident and inalienable. When a bankruptcy case is filed it acts as a stay order on all lawsuits and collection activity.
The automatic stay of New York bankruptcy law protects the filer from all lawsuits, foreclosures, collections, and legal proceedings. Notice of automatic stay is mailed by the court to all creditors and other persons having an interest in the payment.
