Discharging Judgments in Bankruptcy
When drivers who have no auto insurance are in an accident, they are personally liable for the damage they cause. Without insurance, however, it is unlikely that they will be able to pay for the property damage, injuries or deaths resulting from the accident. If you cannot afford to pay the judgment entered against you after a car accident in which you had no insurance coverage, your driver's license may be suspended.
At Redman Ludwig, P.C., our lawyers have helped many people get their driver's licenses reinstated. Filing Chapter 7 or Chapter 13 bankruptcy may work to reduce or discharge the judgment against you. We advise people to discuss this option with an experienced bankruptcy attorney before making a decision. We will review your finances and debts, including unpaid judgments, to determine whether filing bankruptcy will work for you.
Filing bankruptcy halts judgments and pending lawsuits against you by providing the protection of the automatic stay, which prevents creditors from taking collection actions while the bankruptcy is in progress. In addition, by including the judgment in your filing, it may be discharged or reduced.
Only judgments from car accidents caused by negligence may be reduced or discharged under bankruptcy. Accidents caused by driving under the influence of drugs or alcohol are not eligible.
Learn More About Judgments and Driver's License Reinstatement
For a free telephone consultation, please call in Indianapolis at 317-489-5832 or toll free at 866-793-5226, or contact us online.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.
