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 Utah, 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 disputes that are related to the bankruptcy case but are not automatically decided in the main case. Common issues addressed in adversary proceedings include attempts to recover money or property, challenges to the validity or priority of liens, determinations regarding the dischargeability of certain debts, requests for injunctions, and petitions for declaratory judgments. These matters are handled by the bankruptcy courts, which are federal courts, and the outcomes can significantly affect the rights of the parties involved in the bankruptcy process. It's important to note that while the FRBP provides a uniform set of procedural rules, local rules and practices can also play a role in how adversary proceedings are conducted within the District of Utah.