This form is an order for relief in an involuntary bankruptcy case. The form must be signed by the presiding bankruptcy judge.
Nevada Order for Relief in an Involuntary Case - B 253
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How to fill out Order For Relief In An Involuntary Case - B 253?
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Section 303(a) of the Bankruptcy Code only permits involuntary cases under either chapter 7 or chapter 11 of the Code. No involuntary chapter 9, chapter 12 or chapter 13 cases are authorized. Further, an involuntary cannot be commenced against a farmer, family farmer or not for profit entity.
Motion for Relief from the Automatic Stay is a request by a creditor to allow the creditor to take action against the debtor or the debtor's property that would otherwise be prohibited by the automatic stay.
An order for relief will be entered if the debtor does not contest the involuntary petition or, if the debtor contests the involuntary petition, an order for relief will be entered if (1) the court determines that the debtor is not paying its undisputed debts as they come due, or (2) a custodian (other than a trustee, ...
An Involuntary Petition may be commenced only under chapters 7 or 11 of Title 11, and only against a person, except a farmer, family farmer, or a corporation that is not a moneyed, business, or commercial corporation, that may be a debtor under the chapter under which such case is commenced.
The most important thing the order for relief does for debtors is initiate the automatic stay. The automatic stay halts all actions by creditors to collect on debtors' debts or foreclose or repossess their assets. It's one of bankruptcy's biggest privileges to debtors.
