automatic stay

Definition of "automatic stay"
  1. An immediate halt on most debt collection activities implemented as soon as a debtor files for bankruptcy
How to use "automatic stay" in a sentence
  1. Upon declaring bankruptcy, the automatic stay protected her from further harassment by credit agencies.
  2. When he filed for bankruptcy, the automatic stay put an end to the endless collection calls.
  3. The automatic stay takes effect as soon as the bankruptcy paperwork is filed, offering immediate relief.

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