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Bankruptcy

adversary proceeding

An adversary proceeding is the bankruptcy court’s version of a complaint or petition in civil litigation. The adversary proceeding is governed by Federal Rule of Bankruptcy Procedure (FRBP) Rule 7001 and among other purposes, is a proceeding to recover money or property, or determine the validity or priority of a lien, or determine the dischargeability of a debt, or to obtain an injunction, or to obtain a declaratory judgment.

In Illinois, as in all states, adversary proceedings in bankruptcy are governed by the Federal Rules of Bankruptcy Procedure (FRBP), specifically Rule 7001. These proceedings are akin to civil lawsuits within the context of a bankruptcy case. They are initiated to resolve issues such as the recovery of money or property, the determination of the validity or priority of a lien, the dischargeability of a debt, the seeking of an injunction, or the obtaining of a declaratory judgment. Adversary proceedings are separate from the bankruptcy case itself but are related to it and are heard by the bankruptcy court. The process involves filing a complaint with the court, serving the complaint on the defendant, and proceeding through a litigation process that includes discovery, trial, and potential appeals. The outcomes of these proceedings can significantly impact the rights of creditors, debtors, and other parties within the context of the bankruptcy case.

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Bankruptcy

adversary proceeding

Individual & Family Legal Plan

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Bankruptcy

adversary proceeding

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