How Bankruptcy Affects the Ability to Sue for Injury in New York
It is absolutely essential that an individual contemplating a lawsuit for an injury inform his or her lawyer of any bankruptcies, past or present. If there is a pending bankruptcy, then any potential lawsuit becomes an asset of the bankrupt person. As such, the Bankruptcy Court must be appropriately notified and permission must be obtained to pursue the case. If, for any reason, a lawsuit proceeds while there is a pending bankruptcy, and this is done without the permission of the Bankruptcy Court, then upon notification of the bankruptcy proceeding, the court in which the injury lawsuit is pending will automatically dismiss the lawsuit.
This could have dire consequences since the time within which the lawsuit could be started may already have passed so that there might be no chance to bring that suit again once the situation with the Bankruptcy Court is rectified.
At The Orlow Firm you will be dealing with an attorney knowledgeable in personal injury law and the numerous rules, regulations and laws specifically associated with personal injury lawsuits is vital because of highly technical matters such as bankruptcies. Your personal injury lawyer will also work in close consultation with the attorney handling your bankruptcy.