The United States Code is a consolidation and codification by subject matter of the general and permanent laws of the United States. It is prepared by a branch of the United States House of Representatives known as the Office of the Law Revision Counsel. Title 11 contains the body of federal laws that apply to bankruptcy and is sometimes referred to as the “Bankruptcy Code” by lawyers, judges, scholars, and the like. The following contains a summary of the sections of the Bankruptcy Code that are most pertinent to consumers.
Section 341: This section relates to the “meeting of creditors” which occurs in every bankruptcy case. This meeting is more often referred to as a “341 meeting” by attorneys. While the attendance of the debtor is mandatory, creditors rarely attend this meeting. The trustee assigned to the debtor’s bankruptcy case conducts the hearing.
Section 362: Perhaps the most important section of the Bankruptcy Code is this section which contains provisions regarding the automatic stay, the mechanism that stops the collection efforts of creditors at the time a bankruptcy petition is filed.
Section 522: Debtors may protect certain assets in bankruptcy from the reach of creditors. These assets are excluded or exempted by the use of exemptions, which are contained in § 522. In Utah, debtors must consider the exemptions contained in state law.
Section 523: The primary goal of a debtor in any bankruptcy case is to receive a discharge at the conclusion of the bankruptcy case. A discharge is the bankruptcy court’s order which acts as a statutory injunction against the commencement or continuation of any act to collect, recover, or offset a debt. This section contains those exceptions to discharge and lists the types of debts that will not or may not be discharged in a bankruptcy case.
Section 524: This section describes the effect of a bankruptcy discharge as well as the sanctions for creditors who violate the debtor’s discharge.
Section 727: This section, contained in Chapter 7 of Title 11, pertains exclusively to Chapter 7 bankruptcy cases. It addresses a Chapter 7 discharge and those rare circumstances when the court will not order a discharge of debts in a Chapter 7 bankruptcy case.
Section 1322: This section, contained in Chapter 13 of Title 11, pertains exclusively to Chapter 13 bankruptcy cases. It lists the required contents of a Chapter 13 plan or reorganization, including what a Chapter 13 plan must accomplish, and may accomplish.
Section 1325: This section, contained in Chapter 13 of Title 11, pertains exclusively to Chapter 13 bankruptcy cases. This section lists the requirements for a debtor to receive court approval, i.e., confirmation, of a Chapter 13 plan.
Section 1328: This section, contained in Chapter 13 of Title 11, pertains exclusively to Chapter 13 bankruptcy cases. It addresses a Chapter 13 discharge, including the requirements for and exceptions to receiving one.
Most debt collectors assume that consumers are unaware of their rights and protections under federal law. However, Theron Morrison cares about protecting your rights. Theron Morrison has the necessary experience to ensure that all consumers receive the full benefit of the protections afforded them by federal law. Call 801.456.9933 today to schedule a FREE consultation. We have locations in Ogden, Logan, Sandy, and St. George to serve the residents of the counties of Weber, Cache, Salt Lake, Utah, Morgan, Davis, Washington, and surrounding areas.
