Is it too late to file bankruptcy in New York if I already have a judgment against me?

People often ask me if it is too late to file bankruptcy if there is already a judgment against him or her.

The answer is NO.

Bankruptcy Court is a federal court.  The Bankruptcy Court and the Bankruptcy Law overrides the state court, including Civil Courts in New York City, Brooklyn, Bronx and Queens, and can “undo” anything the state court does – including removing a judgment.

This applies to judgments for credit card debt, personal loans, hospital bills and other dischargeable debts.  However, you need to be aware that this rule does not apply to judgments for child support arrears, spousal support, fraud and other non-dischargeable debts.

If you are a New York or New Jersey resident and have questions about whether bankruptcy can help to eliminate a certain type of debt, please don’t hesitate to call our office to speak to an attorney for a free bankruptcy consultation: (212) 315-3755.