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Bankruptcy

Bankruptcy is a federal law issue and is handled in the U.S. Bankruptcy Court. Sometimes, the legal responsibility to pay a state court judgment can be "discharged" through getting a bankruptcy order in federal court.

Discharge of a State Court Judgment after Bankruptcy

Under MN Statutes § 548.181, a judgment debtor can ask a Minnesota state court to discharge a state court judgment AFTER they get an order for bankruptcy from a U.S. federal bankruptcy court. Based on U.S. Code, Title 11, the debtor may apply to the state court asking for the discharge of all judgments entered against the debtor in that state court by filing the Application for Discharge of Judgment due to bankruptcy. Certain filing fees may apply depending on whether the debtor had ever filed documents in the civil case that ended in the judgment against debtor.

Creditors may object to the request for discharge IF: 1) the debt from the state court judgment was not discharged by the bankruptcy court; or 2) the state court judgment was an enforceable lien on real property when the bankruptcy discharge order was entered.

Talk with a lawyer about whether you can apply to discharge a state court judgment and how to do it. Contact your local Court Administrator if you have questions about where to file state court forms.

If you need help with forms and procedures, go to Self-Help Services in the Courts to see if walk-in help is available at your courthouse.

Resources on Bankruptcy

 

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