Review the multiple types of adversaries
Lien stripping is a type of adversary
A fraudulent transfer is a type of adversary proceeding which can be opposed by the trustee typically.
The situations necessitating an adversary proceeding within a bankruptcy case can be quite varied. Review the examples of situations to learn more.
Because of a growing amount of bankruptcies involving adversary proceedings, it becomes important that you review the risk of encountering an adversary opposition within your bankruptcy. While these are not common in a typical and routine bankruptcy case, such situations can creep up if your bankruptcy lawyer does not foresee and look forward and anticipate situations that would involve such circumstances.
It is furthermore very important to share all the details and facts of your situation with your bankruptcy law firm representing you. If you have any question of whether to bring it up, err on the side of providing more information to your attorney in order to obtain the best possible results. You do not want to have a situation where you did not abide by the "honesty is the best policy" adage. By making sure that you provide this information to your attorney, you will be better armed with the right decision-making abilities and your attorney will know how to best represent you. Additionally, if your attorney foresees issues with your case and chooses not to take the case or to bow out in favor of having another attorney handle your case, you could consider yourself fortunate because this means the goal is providing you with better and more suitable legal advice and representation for your bankruptcy protection.
Review the ensuing pages on this website to learn more about common types of adversary proceedings such as fraudulent transfer complaints, sale of assets jointly owned by another party, and complaints alleging fraud and hence seeking to bar discharge of a certain debt. These types of complaints are commonly brought about by creditors who are seeking to retain their right to collect and especially seeking the right to attach even certain assets and obtain relief and a judgment from the bankruptcy court in order to pursue you for a deficiency or other lawsuit.
When you consider your options in bankruptcy, sometimes an adversary filing by a trustee or creditor is enough to cause a debtor to seek a chapter 13 bankruptcy instead of their original seeking to file a Ch. 7 bankruptcy. This is because bowing out of the chapter 7 could put them in a situation of retaining all of their assets instead of fighting the trustee's office. Other outcomes could involve paying for the value of the asset within the chapter 13 in such a way that you pay the amount which would have been obtained through liquidation in a chapter 7 case. This can be the case where a debtor wants to retain a family heirloom and is willing to pay, even within the bankruptcy for the right to retain this asset.