Critical Case Comment – Creditor Not Required to Dismiss Prepetition Nonbankruptcy Action

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By Henry E. Hildebrand, III, Chapter 13 Standing Trustee for the Middle District of TN (Nashville)

The automatic stay does not require a creditor pursuing a prepetition nonbankruptcy court action to dismiss that action once a bankruptcy case is filed; requesting continuances and attending status conferences do not constitute “continuation” of the prepetition action for purposes of the automatic stay. (Brand) Perryman v. Poggetto (In re Perryman), 2021 WL 4742673 (9th Cir. BAP October 8, 2021)

Case Summary

Karen Dal Poggetto sought a dissolution of marriage from Jerome Perryman in 2017. The parties reached a marital . . .

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