"Virginia Chapter 7 Laws"
All Virginia bankruptcy cases are filed under authority of federal law. However, the Code incorporates state statutes for property
exemption options, permissible collection and foreclosure proceeds, and liability for contracts, torts and
criminal matters.
| 11 U.S.C. §701, et seq. provides for unique statutory provisions which apply only to
Chapter 7. Many other provisions of Title 11 also apply to all cases filed in federal court. The Federal
Rules of Bk. Procedure and provisions of the Uniform Local Rules of Bk. Procedure are incorporated by
reference. |
On March 5, 2004 the Virginia Bankruptcy Courts adopted newly adjusted dollar amounts which apply throughout
the Code. The changes became effective April1, 2004. The adjusted amounts affect the values throughout carious
Code sections, including the eligibility requirement for debtors who file Chapter 13, the value of claims which
the Code treats as a priority claim, the amount of creditor claims need to instigate an involuntary petition,
and the amount of luxury goods and services which may be considered nondischargeable if acquired within 30 days
of filing. These changes to Virginia bankruptcy law were based on the Consumer Price Index published by the US
Dept. of Labor, and increase values to reflect rising prices. These changes became mandatory every three years
beginning in 1994.
Back to Virginia Bankruptcy Court words & phrases.
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