TS postponements due to BK, any additional info?


#1

Hello Sean and thank you very much for being such a great help. I have noticed that many of the TS’s postponed due to bankruptcy are postponed multiple times. Is that because the owner is refiling bankruptcy or somehow preventing the auction of his/her property?


#2

You’re welcome!
The multiple postponements are just par for the course. The issue is that the trustee doesn’t really know how long it will take to get the judge to release them from the bankruptcy stay so that they can complete the foreclosure. Typically they don’t like postponing for more than a month at a time, just in case there is a status change in the mean time (like the BK case being dropped altogether). So they just postpone them 2-4 weeks at a time until the judge issues an order for relief from stay at which time they go ahead with the sale. One way to find out the status of BK cases is to look them up on Pacer. Once you see the motion granting the order for relief from stay you know it will likely sell.