Question 1

Which bankruptcy laws apply in Puerto Rico?

Accepted Answer

Bankruptcy is governed by the U.S. Bankruptcy Code and handled by the U.S. Bankruptcy Court for the District of Puerto Rico. Individuals usually file under Chapter 7 or Chapter 13, and Chapter 12 covers family farmers and fishermen. Business reorganizations under Chapter 11 are a separate practice area.

Question 2

Will filing for bankruptcy stop creditor collection efforts?

Accepted Answer

Yes. Filing triggers an automatic stay that halts most collection actions, including lawsuits, wage garnishments, and foreclosures. Some debts, such as certain taxes and child support, may not be dischargeable.

Alejandra Soltero

Practice Areas

Frequently Asked Questions