// definition
Automatic stay
Statutory pause on specified actions in US bankruptcy
Short definition
Protection under Section 362 of the US Bankruptcy Code. Filing a petition under the provisions it covers stays specified actions, including certain efforts to collect pre-petition claims. Its scope, duration and exceptions depend on the case and statute. The stay’s existence is distinct from a creditor’s knowledge and from the conditions for sanctions.
risk atlas
Knowledge map
Intuition
The protection can take effect before every creditor receives notice.
Related analyses
Primary sources
- 11 U.S.C. §362, Automatic staySubsections (a), (b), (c)(3) and (k): effects, exceptions, repeat filings and sanctions.