Bankruptcy Can Stop Lawsuits and Judgments

Have you been served with a lawsuit or been threatened with litigation by a creditor?  The first question you need to ask is, "Do I owe this debt?"  Common sense should tell you that if you owe the money, there are very few ways to prevent a court judgment against you.

The second question you should ask is, "Can I pay this debt or settle with the creditor for a reduced amount?"  If not, the creditor will ultimately receive a court judgment against you.  The judgment is good forever.  The creditor can then collect on the judgment using a variety of legal mechanisms, including asset seizures, bank attachments, and property liens.  If you cannot afford to lose your cherished property, cash or income, you should consider speaking with a Houston Bankruptcy attorney.  Depending on your financial situation,  Bankruptcy can eliminate or significantly reduce the debt.  More importantly,  Bankruptcy can reduce your stress by ending the threats of litigation or pending lawsuits.

According to the Supreme Court of the United States, the purpose of the Bankruptcy Code is to give a "fresh start" to the "honest but unfortunate debtor."  In this economy, it would be nice to get a fresh start.  Bankruptcy is a federal legal process that immediately and automatically stops lawsuits, garnishments, and collections and allows you to either structure a plan to repay your debts over time or legally discharge your financial obligations without further payments.  The instant you file a Chapter 7 or Chapter 13 Bankruptcy, any lawsuit or other collection action (including calls, letters, and other harassment) must stop.  It is illegal for creditors to continue their efforts against you once the case is filed.  When your case is concluded and the Bankruptcy Court discharges your debts, the creditors listed in your case can no longer enforce the dischargeable debts against you.

While a single lawsuit may not be a good reason to file for Bankruptcy, it may be a warning sign that you need help soon.  If you have been sued or received threatening phone calls or letters about potential litigation, you should call the Law Office of Nicholas R. Westbrook at (713) 893-6204.  We offer free legal consultations and flexible payment plans at numerous locations around the Houston area.  Let an experienced and dedicated Houston Bankruptcy lawyer assist you during this difficult process.  Stop letting debt ruin your life.