lift the automatic stay

lift the automatic stay

In bankruptcy, all collection activities by creditors must cease as soon as the creditor receives notice of the bankruptcy proceeding.This is called the automatic stay.Creditors may proceed with foreclosure or repossession of collateral only if they obtain permission from the bankruptcy judge to do so.That request is called a request to lift automatic stay,the process is called lifting the stay.

References in periodicals archive ?
While this imaginative attempt by a lender to expand the scope of Code [section]101(51B) was unsuccessful, bankruptcy courts have taken pains to apply Code [section]362(d)(3) to lift the automatic stay in appropriate cases.
On Tuesday, October 6, 1998, the Bankruptcy Court heard on an emergency basis motions filed by Merrill Lynch IPF and NationsBank to lift the automatic stay.
After learning of the hospital's bankruptcy in March 2002, SIP repeatedly asked whether they intended to lift the automatic stay, to continue paying benefits, or if they intended to default on their self insured workers' compensation obligations.
The insurance company would be required to lift the automatic stay in order to access the cash.
Upon such a filing, a lender would typically move to lift the automatic stay as soon as possible.
Bondholders' Committee") announced today that the Honorable Helen Balick of the Delaware Bankruptcy Court has granted their motion to lift the automatic stay in the Marvel Holdings bankruptcy.