Legal Question in Bankruptcy in California

Re: filing bankruptcy

If you qualify for bankruptcy, you may file. The lawsuit will be stayed (i.e. put on hold) during the bankruptcy. If the bankruptcy is successfully concluded, and you receive a discharge, then the lawsuit will be dismissed and/or any judgment against you will be uncollectable.

Re: filing bankruptcy

If you qualify for bankruptcy, you may file. The lawsuit will be stayed (i.e. put on hold) during the bankruptcy. If the bankruptcy is successfully concluded, and you receive a discharge, then the lawsuit will be dismissed and/or any judgment against you will be uncollectable.

Re: filing bankruptcy

Yes, you still can file bankruptcy, if you meet the legal qualifications. Note that it is probably a good thing that a lawsuit is filed because the causes of action have been laid out, and unless fraud has been claimed, you will be able to discharge the debt without an adversaruy proceeding (a proceeding where the creditor claims the debt is non-dischargeable because of fraud).

Note that time is of the essence. If you are going to file, you should do so immediately as once a default judgment is entered, your wages, bank accounts and other assets may be seized.