Jun 14 2011
Does bankruptcy mean I have to appear in court?
There are many myths surrounding bankruptcy and the bankruptcy process. Sadly, it’s the myths that most often prevent people who need the protection offered under the bankruptcy protection laws to postpone their decision to file. One of the concerns often expressed to bankruptcy attorneys is whether or not it will be necessary to appear in court.
Usually, the only formal proceeding at which a debtor must appear is the meeting of creditors, which is usually held at the offices of the U.S. trustee. A debtor’s involvement with the bankruptcy judge is usually very limited. In a Chapter 7 bankruptcy filing the debtor will not see the bankruptcy judge unless an objection raised by a creditor.
A chapter 13 bankruptcy filing the debtor may only have to appear before the bankruptcy judge at a plan confirmation hearing. This meeting is informally called a “341 meeting” because section 341 of the Bankruptcy Code requires that the debtor attend this meeting so that creditors can question the debtor about debts and property.
In either case, the actual interaction in the bankruptcy court is very limited. At any point where it is necessary for the debtor to appear in court, the bankruptcy attorney will also appear. The possibility of a bankruptcy court appearance should not prevent a debtor from seeking the protection of bankruptcy.
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