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Claims and Interests of a Creditor in a Bankruptcy Matter

Claims and Interests of a Creditor in a Bankruptcy Matter
"Any right to payment, whether or not it has been reduced to a judgment, is a claim that may allow the creditor to pursue payment in the bankruptcy proceeding. In addition, the claim is valid so long as a breach that was foreseeable, if applicable, gives rise to a right to payment.The Bankruptcy Act eliminates the requirement that a claim be provable; it now lies solely on whether the claim is allowed. However, personal injury cases with claims for damages are only admissible if the claimant had a pending negligence action when the bankruptcy petition was filed. If not, the aggrieved party has no claim in the bankruptcy proceeding. This also applies to intentional tort claims that were not resolved by a verdict.To preserve one's rights in a bankruptcy case, one must file a proof of claim with the bankruptcy court. Unless lodged by the trustee, debtor, or co-debtor, the claim must be in writing and signed by the creditor or his authorized agent. While it is uncommon for a party other than the creditor to submit a claim, the law does permit claims to be filed by parties other than the creditor. Both parties are responsible for verifying the information contained in the proof of claim in this instance. If it is a secured claim, the proof of claim must be accompanied by the original or duplicates of the evidence of the debt or other supporting documentation.Examples of acceptable evidence of a secured interest include a copy of the recorded deed, mortgage, or financial statement showing that the security interest has been perfected. Prior to the bankruptcy filing, the perfection of a secured interest in property must have been lodged or recorded with the appropriate county agency or with the Secretary of State where the property is located for it to be valid.
" - https://www.affordablecebu.com/

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"Claims and Interests of a Creditor in a Bankruptcy Matter" was written by Mary under the Finance / Wealth category. It has been read 158 times and generated 0 comments. The article was created on and updated on 03 June 2023.
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