16 Questions
Which type of activity is not affected by an automatic stay in bankruptcy?
Criminal activity
What type of order cannot be stayed by filing for bankruptcy?
City order to do something
In which situation would a person have to continue to pay child support even after filing for Chapter 7 bankruptcy?
If the payments are dischargeable
What must a person ensure before being discharged of debts via Chapter 13 bankruptcy?
Payment of all domestic support obligations
What was the reason for the husband's motion to reduce maintenance payments?
He lost his job
In Taggart v. Lorenzen, what would establish a basis for the discharge injunction and an appropriate defense for the creditor?
A reasonable basis for the creditor’s conduct
What did the Supreme Court hold in City of Chicago v. Fulton regarding the prohibition by retaining possession of a debtor’s property after a bankruptcy petition is filed?
Mere passive retention of estate property does not violate §362(a)(3)
In the case of Taggart v. Lorenzen, what did the court define as civil contempt?
Willful disobedience of any judgment by civil court
What was the reason for the City of Chicago impounding Fulton’s car?
Failure to pay fines and driving with a suspended license
What did the Supreme Court require the debtor to provide to the creditor in City of Chicago v. Fulton?
Adequate protection of its interest in the returned property
What was the outcome of the City of Chicago v. Fulton case?
The City did not violate the prohibition by retaining possession of the debtor’s property
What type of lawsuit did Sherwood Park Business Center and its owners bring against Taggart?
Claiming that Taggart had breached the Business Center’s operating agreement
Before the trial, what did Taggart file for?
Chapter 7 bankruptcy
What was the reason for the motion filed by the Sherwood in Taggart v. Lorenzen?
Seeking attorney’s fee reimbursement for the prebankruptcy action against Taggart
What was the outcome of the motion filed by the Sherwood in Taggart v. Lorenzen?
The state court entered a judgment against Taggart
What was the result of Taggart’s bankruptcy petition?
He was awarded a discharge
Test your understanding of the exceptions to the automatic stay under 362(b) of the bankruptcy code with this quiz. Identify situations unaffected by the stay, such as criminal activity, paternity and child support, police and regulatory activity, and more.
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