What Is the Definition of a Bankruptcy Dismissal?

If your bankruptcy is pending, you may have reached a juncture at which you are reconsidering your case. You may be interested in obtaining a bankruptcy dismissal. In the alternative, the court itself may be contemplating a bankruptcy dismissal in your case.

FunctionThe primary function of a bankruptcy dismissal is to bring a case to an end. TypesOne type of dismissal is requested by the debtor in bankruptcy. The other type of bankruptcy dismissal occurs by order of the court, usually because a debtor failed to follow bankruptcy procedures.

FeaturesA bankruptcy is dismissed with or without prejudice. A case dismissed with prejudice means that the debtor cannot reopen the case. A case dismissed without prejudice allows a debtor the chance to proceed again at a later date.

EffectsA bankruptcy dismissal permits the debtor's creditors the right to resume directly collection activity. MisconceptionsThe most common misconception associated with bankruptcy dismissal is that a debtor can dismiss ... more.

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