automatic stay

Bankruptcy. A bar to all judicial and extrajudicial collection efforts against the debtor or the debtor’s property.

• The policy behind the automatic stay, which is effective upon the filing of the bankruptcy petition, is that all actions against the debtor should be halted pending the determination of creditors’ rights and the orderly administration of the debtor’s assets free from creditor interference.

— Also termed automatic suspension. [Cases: Bankruptcy 2391–2404. C.J.S. Bankruptcy §§ 65–79.]

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词条贡献者

双语律师Akira，国际知名法学院法律专业，擅长翻译各类与地产开发相关的法律文件。