As the first part of this order implies, this is normal (or automatic) document that’s filed in Alabama bankruptcy court. It basically tells all of your creditors to freeze.
We talk about what a judgment is in other articles, which you can find on our site.
The answer is very rarely which is unusual among all of the states. Here’s what I mean.
My name is John Watts, and I’m an Alabama consumer protection attorney. Even though we don’t really do bankruptcy, it’s a topic that we are asked about fairly often.
Welcome to a new series of articles and videos on the actual text of the FDPCA (Fair Debt Collection Practices Act) which is found at 15 USC Section 1692.
We will still continue to do normal articles and videos but it is good to go to the literal text of the law to make sure we understand it. Then when we review case decisions they will make more sense having read the actual law.
This law is so powerful as there are many abusive debt collectors out there. You need to know your rights so you can take action to stop the abusers.
One of the worst types violations that we see debt collectors make is when they do a “Third Party Disclosure.”
So you’ve been in a car wreck, and you know the other side has insurance. Maybe it is State Farm, Allstate, Geico, etc.
So you are dealing with a debt collector and you tell the collector that you dispute the debt.
Debt collector says:
You can only dispute the debt if you prove to me that the debt is not yours.
This is a question that we’re asked several times a month, and it’s a good question.
Alabama Consumer Law Blog