There is quite a bit of difference between a bankruptcy dismissal and a bankruptcy discharge and whether you’ve filed for bankruptcy in Maryland, Pennsylvania or elsewhere, discharge is the desired outcome.
A bankruptcy discharge occurs when you have done everything you’re supposed to do. Once your discharge has been entered, your creditors can’t sue you and cannot enforce their rights against your post-bankruptcy earnings. I like to call this the “pot of gold at the end of the bankruptcy rainbow.”
Once you have filed a bankruptcy case, the court has jurisdiction over you and your property. The court may well decide that it no longer has jurisdiction and that you don’t belong in bankruptcy; if so, your case will be dismissed. Dismissals can occur either before or after a discharge. Dismissal occurring after discharge can end up being a favorable development for you, but a dismissal occurring before discharge is as though you were never in bankruptcy. For more information, read How Does a Maryland Bankruptcy Dismissal Differ from a Discharge?
If you have questions about a bankruptcy being dismissed or discharged, please pick up the phone and call me at telephone number 410-484-9000. I’d love to hear from you.
