Posts Filed Under: Bankruptcy

When a tenant files for bankruptcy, can you still evict them? This detailed guide breaks down your legal rights, the role of automatic stays, and what to do next depending on your situation.

When a tenant files for bankruptcy, an automatic stay generally halts eviction proceedings temporarily, unless the eviction was filed before the bankruptcy. Landlords can navigate this process by seeking court permission to lift the stay, especially in cases of nonpayment or lease violations, while ensuring compliance with federal and state laws.

If you’re a landlord suddenly having to go through a tenant bankruptcy, most likely the first words that come to mind is “oh great, now I have to let this deadbeat tenant live free of rent until this gets all sorted out.” While that may be true to a certain extent, you as a landlord need to understand your options dealing with tenant bankruptcy and the process in general so that you can minimize your loses.