Motion to Lift the Automatic Stay and Motion to Dismiss Chapter 13 Case for Bad Faith

Aug 23, 2017

OUTCOME: Successful outcome for my client as the ex-wife's bankruptcy case was dismissed for bad faith and the automatic stay was lifted for the client to return to state court to enforce the orders of the state court judge in the divorce case.

I represented the creditor, an ex-husband and an elderly gentleman, who was defrauded by his ex-wife of a short-term marriage. The ex-wife used a power of attorney of her then husband during a time wh ... en he was hospitalized, having surgery, and during his recuperative period, to transfer his financial assets to her use, to transfer real estate to her name, and to run up his credit card debts to her benefit. The state court judge in the divorce case ruled in the ex-husband's favor and ordered that the ex-wife's share of any equitable distribution first be used to re-pay the ex-husband for what had been taken from him fraudulently by the ex-wife. The ex-wife then filed a bankruptcy case to shield those ill-gotten assets. The ex-husband hired me to have the automatic stay lifted so he could enforce the orders of the state court in the divorce action and to file a motion to dismiss the case for bad faith. Both motions were granted by the U.S. Bankruptcy Court in favor of the ex-husband, my client.