Although bankruptcy is for the most part an administrative proceeding, there are times when litigation becomes necessary to resolve a dispute or allegation concerning an issue in a Chapter 7 or Chapter 13 proceeding. Attorney Parisa Fishback and the Fishback Law Corp in Irvine engage in bankruptcy litigation when it is needed to obtain a successful outcome for her Orange County bankruptcy clients, including representation in bankruptcy contested matters and other bankruptcy litigation throughout Southern California.
Like adversary proceedings, contested matters are also litigated in court, although they are less like an adversarial trial and more like motion hearings, where arguments are presented to persuade the judge to dismiss a case or make some other important ruling. Contested matters are governed by Bankruptcy Rule 9014 and include the following:
- the dismissal or conversion of a case
- objections to the confirmation of a plan
- motions for relief from the automatic stay
- motions for the use of cash collateral
- motions to obtain credit
- avoidance of certain liens
- the assumption, rejection or assignment of executory contracts or unexpired leases
Other Bankruptcy Litigation
Other types of bankruptcy litigation may include allegations of fraudulent transfers and issues regarding preferences. In a bankruptcy, the bankruptcy trustee in charge of the case may look back for any transfers of property made within the year prior to filing for bankruptcy. If the trustee feels that the transfer was not genuine but only made to put the property out of reach of creditors, it may void the transfer as fraudulent. Litigation may be necessary to defend the transfer. Preference litigation looks at payments made to creditors made in the three months preceding a bankruptcy to determine whether preferential treatment was given to one creditor at the expense of others. The trustee may order the creditor to return the payment so that it can be disbursed to the proper creditors according to the statutory order of creditor preferences outlined in the Bankruptcy Code.
Consult with a bankruptcy litigation team that knows California law
When your Chapter 7 or Chapter 13 matter involves bankruptcy litigation in Orange County or anywhere in Southern California, count on Fishback Law Corp for strong, effective advocacy. Contact our Irvine office for a free consultation.