Debtors have rights in Bankruptcy. Debtors are protected in bankruptcy. You cannot continue to keep contacting someone who owes you money. Threatening debtors is unlawful.
- Person alleged that his friend stole $2,000.00 from his backpack while hiking
- Friend said she paid him back but the check was never cashed
- He claimed he did not deposit the check because he knew there was never any money in account.
- Chapter 7 was filed for all debts.
- The $2,000.00 was inadvertently omitted.
- Chapter 7 case amended to include the $2k and notice sent out to this creditor
- Person continued to contact his friend and threaten criminal charges.
- Calls continued and continued
- Debtor filed motion for contempt
- Court determined the creditor’s actions were significantly egregious and/or vindictive in nature.
- Court awarded Debtor $170 for lost wages for Debtor to appear in court and $500 in punitive damages
Not only did the creditor not receive the $2k but now had to pay his “friend” $670.
Bankruptcy rules apply to everyone – you cannot continue to contact a debtor, even your “friends”