Many lawsuits will be stopped by the filing of bankruptcy, and some will end completely with that filing. Almost all lawsuits will stop the moment the case is filed because an automatic stay prevents most creditors from continuing the lawsuit to collect a debt against a bankruptcy debtor.
The automatic stay is like a restraining order that stops creditors from trying to collect a debt. It protects the debtor until they receive a discharge from their debts, or until the creditor obtains relief from the stay.
Your chances of being sued increases as time passes without making a payment on an outstanding account. Your account may get forwarded to a debt collector who may decide to file a lawsuit for what is owed.
Bankruptcy could be a solution to help improve your situation., particularly if you have been unable to make payments on several accounts including credit cards, medical bills and other outstanding debt.
Filing bankruptcy is usually the last resort. If you find yourself being harassed by debt collectors, or you receive a summons, filing bankruptcy may be your best option for gaining control of your finances.
It is illegal for creditors to try to collect from you after you file bankruptcy and should be reported to your bankruptcy attorney.