A “Motion for Relief from the Automatic Stay” (Motion) is typically filed by a secured lender that is seeking permission to foreclose upon or seize collateral. If you do not object to the Motion, the court will grant it and enter an order that lifts the stay from applying to that specific debt.

How long does a Chapter 13 automatic stay last?

In Chapter 13 bankruptcy, the automatic stay can give you time to catch up on any mortgage arrears and stay in the home. You’ll repay debts (some in part and some in full) over a period of three to five years—including delinquent payments on a home mortgage.

Can a debtor file a motion for relief from stay?

It’s against federal law for a creditor to violate the stay. However, creditors have the right to ask the bankruptcy court to lift the stay, which is done by the filing of a Motion for Relief from Stay. Once the motion is filed, the debtor has the right to defend the motion.

How does relief from stay work in bankruptcy?

However, creditors have the right to ask the bankruptcy court to lift the stay, which is done by the filing of a Motion for Relief from Stay. Once the motion is filed, the debtor has the right to defend the motion. If the stay is lifted, the creditor may then proceed with its collection efforts, typically completing its foreclosure action.

What do I need to get relief from stay?

To get relief from stay, you need a lawyer. The lawyer needs information about the claim against the debtor or the debtor’s property; information about the value of any collateral for the debt; and information about other liens or claims against the property.

What happens when a relief from stay order is granted?

When relief from stay is granted, it does not remove the property from the bankruptcy estate or grant the creditor ownership of the property. It simply removes the stay and restores the parties to their state law rights. Creditors can then enforce those rights to the extent that the relief from stay order permits.