Someone filed a claim against me but I filed for Bankruptcy in Canada

Table of Contents

Claims Filed After Bankruptcy

Can someone file a claim against you if you filed for Bankruptcy? There are two parts to this that you will need to review.

Stay of Proceedings, as soon as your consumer proposal or bankruptcy is filed, the Stay of Proceeding automatically comes into effect. As a result, legal notices will then be sent out to any persons/companies that have a legal action against you. This covers your unsecured debts. Essentially, the Stay of Proceeding STOPS someone from starting, continuing or enforcing any legal action against you (regarding your unsecured debts). It is important to inform your Trustee of all your debts and to not leave anything out.

Legal Action after Bankruptcy or a Consumer Proposal

If you happen to receive any notice of legal action from your unsecured creditors after your bankruptcy/consumer proposal has been filed, then you should contact your Trustee, inform them of this legal action so they can then send out the Stay of Proceedings to the unsecured creditor;

The Stay of Proceeding is also sent to the court that is handling the legal issue. If you were dealing with wage garnishment for example, the Stay of Proceeding would let the courts/employers know to stop the wage garnishment.

With the Stay of Proceedings, this only helps protect you against your unsecured debts that are covered within your bankruptcy filing or consumer proposal.

Defaulting on your Consumer Proposal

If you fail to meet the terms of your Consumer Proposal and it goes into default, this could cause your Stay of Proceeding to be lifted, and as a result, your creditors will regain their full collection rights, including court action.

There is the chance that the Stay of Proceedings could be lifted via the courts if a creditor applies for this. They do have the right to ask the courts if they are looking to pursue a certain legal action against you. However, the lifting of the Stay of Proceedings would usually only be granted to allow the creditor to seek a court decision on an undecided claim, but once decided, the Stay of Proceedings would usually be reinstated.

Depending on your financial situation, either a proposal or bankruptcy could be a viable option for you to help you get out of your financial hardships. If you are having financial problems, take the time to contact our offices for a free initial consultation. See what your options are and to help get a new start on life.

Take Your First Step Towards A Debt Free Life

If you are overwhelmed by debt, call us at 1-844-962-9200 to book a FREE, confidential appointment. We will review your financial situation in detail and discuss all of your options with you. Alternatively, you can fill out the form below and our team will reach out to you. 

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The team at David Sklar and Associates Inc are very professional and are willing to help you get out of debt. Highly recommended.
Melissa MacKenzie
12:35 29 Mar 23
I would like to thank the team at David Sklar and associates inc. for all the time and effort they put in to support this process for me. This topic can be challenging to disclose but a big thank you to Christine for going above and beyond in guiding me through all my options and supporting me through the decisions. I cannot recommend this group enough , as they have shown me compassion , knowledge , and understanding throughout the entire process. I look forward to the next step of this process and learning how the proper way of becoming financially educated through the support of their financial counselling team. For anyone who is struggling , just know that there is a wonderful group of educated professionals at David Sklar who are available to help!
Michelle Plouffe
18:45 14 Mar 23
It took me awhile to get up the courage to contact David Sklar but I’m so glad I did. Trina walked through my options with me and provided the knowledge I needed to make a decision to help turn my financial situation around. She is patient and empathetic and answered any and every question that I had. Trina provided me the reassurance I needed that I was making the best decisions for me and my family. I’m so happy that I reached out and now have a plan to get back on track.
M. Mackenzie
19:59 12 Mar 23
Trina was very helpful and thorough.
Sam M
15:26 12 Mar 23
Christine was very helpful, kind, and understanding. She explained everything thoroughly, answered any questions I had, and was responsive to any concerns I had. 100% would recommend
Katherine Campbell
17:29 08 Mar 23
Jackie Stanley is excellent she took the time to explain everything to me and I am so grateful to her for giving me a fresh financial start so if you have any doubts don’t and go see her if you want to achieve financial freedom!
Heather Helfield
21:24 06 Mar 23
Amazing friendly staff that knows what they are going. They make a difficult situation not so bad. Would give 10 stars if I could.
alie Balan
22:37 25 Feb 23
Very helpful and kind and gave me all the available options before helping me decide which one was best for me. I would definitely recommend Jackie
Alison Rivard
01:01 21 Feb 23
Great experience i was in financial trouble and someone of my friends recommended this company. Cori is a wonderful and welcoming person she did a very good job and came up with a smooth and flexible monthly payment after the reduction. i highly recommend this company. Thank you David sklar and special thanks to Cori.❤️🙏🏻
Jasmine Joseph
22:08 13 Jan 23
Met up with Mr. Jason Sklar to discuss more in person, very thorough and clear. He is very kind and thoughtful, I will be referring anyone with the same situation to David Sklar & Associates.
Ariel Domingo
02:33 29 Dec 22
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