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BD Will Be Referred to Contempt: Understanding the Consequences

Understanding the Terminology

  • BD refers to the Bankruptcy Debt owed to a specific creditor, known as the "Becoming Debtor"
  • Contempt means violating the rules or orders of the Bankruptcy Court. This can result in legal sanctions

What Happens when BD is Referred to Contempt

The creditor has requested that your BD be referred to contempt for an unpaid debt of $165,000. If this happens, the Bankruptcy Court can issue an order:

Penalties for Contempt

  • The court may issue an injunction against you, effectively shutting off essential services or terminating credit accounts
  • Fine may be imposed for non-compliance or disregarding court orders
  • Pardon: The court may remove penalties for contempt if an amended repayment plan is proposed
  • Collection: The creditor may have authority to continue collecting the debt or foreclose on assets

Help with AI Legalese Decoder

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How AI Legalese Decoder Can Assist:

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Don’t risk ignoring your debt or misinterpret your responsibilities. AI Legalese Decoder ensures a better understanding of the proceedings and offers timely guidance to protect your assets.

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1 Comment

  • CSEworker

    They are bringing him into court and he faces potential incarceration. If he does not show, it’s likely a capius (civil warrant) will be issued.