Why do creditors typically seek relief from the Automatic Stay? ...

[D2AR0N]

Why do creditors typically seek relief from the Automatic Stay? Which creditors are the most likely to file a motion for relief from the Automatic Stay? Can a creditor just decide on its own that it is exempt from the Automatic Stay? Explain.
 
  What will be an ideal response?

Question 2

The Freedom of Information Act (FOIA) permits for _____examination of records conducted by the presiding judge, usually in chambers outside the presence of the public, to preserve the confidentiality of documents while giving the judge the opportunity to review the records and make an informed decision.
 
  Fill in the blank(s) with correct word

[rachel]

Answer to Question 1

Creditors are prohibited from unilaterally defying the Automatic Stay. The Automatic Stay remains in effect until it is lifted by order of the bankruptcy court pursuant to Section 362(c) of the Bankruptcy Code. Creditors typically seek relief from the Automatic Stay or, in essence, have it lifted or removed by the court, for the following reasons: the creditors' interest in the property is not adequately protected, the property in question is depreciating in value, and the debtor has no equity in the property, and the property is not needed for reorganization under Chapter 13. Secured creditors are among those who frequently seek relief from the Automatic Stay.

Answer to Question 2

in camera