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Bankruptcy and Members of the Military


Stay or Vacation of Execution of Judgements, Attachments and Garnishments

In addition to the court's ability to regulate default judgments and stay proceedings, the court may on its own motion and must upon application: (1) stay the execution of any judgment or order entered against a servicemember; and (2) vacate or stay any attachment or garnishment of the servicemember's property or assets, whether before or after judgment if it finds that the servicemember's ability to comply with the judgment or garnishment is materially affected by military service. The stay of execution may be ordered for any part of the servicemember's military service plus 90 days after discharge from the service. The court may also order the servicemember to make installment payments during any stay ordered.

Additional Protections: Evictions

The SCRA also provides in most instances that a landlord cannot evict a servicemember or dependants from a primary residence without a court order. In an
eviction proceeding, the court may also adjust the lease obligations to protect the interests of the parties. If the court stay the eviction proceeding, it may provide equitable relief to the landlord by ordering garnishment of a portion of the servicemember's pay. Under the SCRA a servicemember may terminate residential leases if he or she is transferred after the lease is made.

From the Administrative Office of the U.S. Courts


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