It was determined by the Jacksonville, Florida court in 100 B.R. 579. pdf, that an automatic stay will provide protection not only against evictions but also against the damage that occurs due to evictions done in a wrong manner.
A lease agreement was signed between the debtor and residential property. An eviction notice was served to the debtor, a few days before the bankruptcy filing. Despite the notice of the bankruptcy filing, the landlady had forcibly entered the debtor’s house and had placed all the belongings on the street. Before the debtor could find out about the eviction, her personal belongings were stolen.
Under 11 USC § 362, the debtors can sue their creditors for the violation of the automatic stay and for making attempts of collection without the court’s permission, during bankruptcy. An eviction is also considered an attempt of collecting a debt. In this case, the debtor was given $11,311.06 for her stolen property, as the theft was a result of the creditor’s misconduct and wrongful eviction.
There was a similar litigation case involving an incorrectly repossessed boat. The repossession of the boat was taken by the company financing it, without the permission of the court. During the repossession, the agents tore and removed away from the bimini cover, and also stole many personal items from the boat. This was a clear violation of the automatic stay. Though the company had returned the boat, the debtor might have had received some recovery too.
To consult the best bankruptcy attorneys of Los Angeles & Dallas, TX, in case of violation of your rights, visit Recovery Law Group or call on 888-297-6203.