Automatic Stay Doesn’t Protect Tenant if The Debtor Doesn’t File the Necessary Certification and Rent Deposit With the Petition, an Amendment to Those Documents Isn’t Sufficient to Protect the Tenant

Automatic Stay Doesn’t Protect Tenant if The Debtor Doesn’t File the Necessary Certification and Rent Deposit With the Petition, an Amendment to Those Documents Isn’t Sufficient to Protect the Tenant

The Debtors filed a voluntary petition for relief under Chapter 7 of the Bankruptcy Code and indicated in the petition that their landlord had obtained a pre-petition judgment of eviction against them for possession of their leased residence.

They filed an incomplete Statement About an Eviction Judgment (“Form 101A”) contemporaneously with the petition. It did not certify as required under 11 U.S.C. § 362(l)(1)(A), that (1) under nonbankruptcy law, circumstances exist under which they would be permitted to cure the monetary default that gave rise to the judgment of possession, and (2) that they deposited with the clerk any rent that would become due during the 30-day period after the filing of the petition.  They also did not deposit with the clerk the rent due during the 30-day period after the filing of the petition.

Ten days after filing their petition, Debtors filed an amended Official Form 101A with the proper certification and submitted to the clerk the rent due.

The docket thereafter reflected receipt of the amended filing, but underscored that in light of the incomplete Official Form 101A initially filed with the petition, “[s]ubsection (b)(22) of 11 U.S.C. § 362 immediately applied upon the failure of the debtor to fully comply with the requirements of Official Form 101A. . . . Therefore, no action will be taken on the Amended Official Form 101A and the Check No. 107 in the amount of $ 1,850.00 from Pablo Torres shall be returned to the [D]ebtor. . . ”

The Debtors filed a Motion to Reconsider and Request for Leave to Amend.

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