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Nevertheless, the Court should grant the Motion for Relief if the debtor's Chapter 13 Plan does not provide for 100 percent of the creditor's claim, which under the Bankruptcy Code, is a clear reason to terminate the co-debtor stay. The inability of the NFCD to repay the debt is not a defense to the Motion.he effect of the co-debtor stay is that if a consumer has filed for bankruptcy under Chapter 13, and there is a co-debtor on the account, the creditor must not attempt to collect the debt from the co-debtor. Doing so is a violation of the co-debtor stay and the creditor may be subject to sanctions for a violation.
Youâre not alone. Most people who file for Chapter 7 bankruptcy get notices in the mail 30 to 90 days after the case is filed. Most people have no idea what it is. Chances are, its a Motion for Relief of Stay (MFRS).Your bankruptcy lawyer probably explained that this would happen, but itâs easy to forget.After all, thereâs so much information to take in when youâre getting ready to file your Chapter 7 bankruptcy case.ost people who file for Chapter 7 bankruptcy get notices in the mail 30 to 90 days after the case is filed. Most people have no idea what it is. Chances are, its a Motion for Relief of Stay (MFRS).