My name is Ron Drescher. I’m an attorney,
practicing bankruptcy and creditor’s rights in Maryland, Delaware, Pennsylvania and Virginia
and today, I want to answer the question, “I’m going to file Chapter 7. How long does
this process take?” Now, in a classic Chapter�7 case, where the debtor does not have equity
in his assets over the exemption, which is called a noasset case, the typical Chapter
7 case will take about 100 days and here’s the timeline. You file bankruptcy and then,
within 30 to 40 days, you have a meeting of creditors, although typically creditors never
show up and I prefer to call it the meeting with the trustee and that gives the trustee
a chance to talk to the debtor about the debtor’s bankruptcy schedules that have been filed
under oath as part of the bankruptcy case. If we assume that the trustee finds that there
are no assets for creditors, he’s going to file a no-distribution report right away.
Now, creditors have 60�days after the meeting with the trustee to file objections to the
bankruptcy case, which usually only happens in the event of a fraud or an intentional
harm or some other specified exception to the discharge laws. If nobody has filed that
kind of complaint with the bankruptcy court within that 60day window, on the 61st day,
the bankruptcy court will issue a discharge order and the case will be closed and the
court will enter what’s called a final decree, so the Chapter 7 process is a very short process
and that’s one of the reasons why it’s such a favored remedy for debtors with unmanageable
obligations. My name is Ron Drescher. I’m an attorney, practicing bankruptcy and creditor’s
rights and if you have a question about what the Chapter 7 process is going to be like
for you, please pick up the phone and call me. I would love to hear from you.