Updates
June 2017
The "Devil's Dictionary" is a quick-reference guide for commercial lenders and other restructuring professionals. In this series, we highlight many of the buzz words found in the Dictionary and used in today's bankruptcy arena.

STAY RELIEF: Get Out Of Jail (But Not For Free) Card.

An order of the bankruptcy court granting a creditor or other party “relief” from the constraints of the automatic stay. It is not free because it is obtained, if at all, usually only after one or more contested hearings where the creditor must prove such things as its lack of adequate protection, that the debtor has no equity in the collateral, or that other “cause” exists to justify the relief. Diabolically, once lifted, the stay may be reimposed, and if the debtor confirms a plan before the creditor has foreclosed, the plan will control disposition of the property. Once stay relief is obtained, the moving party is free to enforce its state law rights and remedies or to otherwise act, free of the stay, to the extent authorized by the bankruptcy court.  
Bankruptcy Code § 362(d). See also Automatic Stay, Motion for Relief from Stay, Waiver of Automatic Stay.

Bankruptcy Code § 362(d). See also Automatic Stay, Motion for Relief from Stay, Waiver of Automatic Stay.


"The Devil's Dictionary" is an excellent reference tool that reflects the collective wisdom of its four authors, Brett Anders, Jim Bird, David Ferguson and Dan Flanigan, and digital editor, Christopher Ward, who have a combined total of more than 130 years working in the forefront of real estate and other commercial finance, loan enforcement, financial restructuring and bankruptcy law.