Fees From A Creditor Who Tried To Dismiss Your Case
By L. Jed Berliner, Western & Central Massachusetts Bankruptcy Attorney on Jun 20, 2009 in Bankruptcy Practice and Procedure, Means Testing
Creditors can argue that your case should be dismissed for abuse, a term not defined in the Bankruptcy Code; It generally means that you’ve been a bad boy. There’s a presumption of abuse when you flunk the Means Test and show that you have means to pay some of your debt. Abuse might also exist if you’ve hidden assets.
A losing creditor might have to pay your attorney fees for the defense, if the creditor (1) really had an improper purpose, such as delay, harassment, or an increase of your attorney fees, (2) argued without legal support or reasonable grounds to attempt to change existing law, or (3) argued without factual support, even after an investigation. The creditor can also be forced to pay your fees if it files too many papers which vexatiously multiply the proceedings.
Good luck. Don’t be afraid to use this weapon and stop a bullying creditor from preventing your achievement of a fresh start.
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