Central District Consumer Bankruptcy Attorney's Association

Gerry:
CSLB won''t reinstate a license until the discharge is entered. Has your client gotten a discharge?
Maybe someone else has a better theory, but people file bk and don't get discharges. So the CSlB waiting is prudent. The Auto Stay is an injunction against acts to collect a debt. What "act" has the CSLB taken? If the license was revoked prepetition, there is no violation of the auto stay.
I tell contractors to get a discharge, then when there is no debt, the CSLB will have no impediment to issuing the license.
d
Dennis McGoldrick, 350 S. Crenshaw Bl., #A207B, Torrance, Ca 90503 310-328-1001-voice
> On Nov 16, 2015, at 4:14 PM, 'Gerald McNally' gm@mcesq.com [cdcbaa] wrote:
>
> Listmates,
>
>
>
> Have you ever encountered this situation:
>
>
>
> 1. Contractor Debtor files for Ch7 relief. Among his debts are Materialmens invoices. (He paid his employees instead.)
>
> 2. CSLB has informed him that he doesnt have the right to reinstatement of his license because of his alleged diversion of funds (i.e., not paying the materialmen).
>
> 3. They cite some document from the 1940s.
>
>
>
> Questions:
>
>
>
> 1. Absent fraud (there is none), will this CSLB assertion hold up to deny his license?
>
> 2. Is this a stay violation?
>
> 3. What is the appropriate remedy: (a) OSC for stay violation; (b) Adversary; (c) None
>
> 4. Has anyone encountered this situation, and if so, how did you handle it?
>
>
>
> Gerry McNally
>
>
>
>
>
>
>
>
>
>
>
> Notice to Recipient: This email is meant for only the intended recipient of the transmission and may be a communication privileged by law. If you received this email in error, review, use, dissemination, distribution or copying of this email is strictly prohibited. Please notify us immediately of the error by return email and please delete this message and any and all duplicates of this message. Thank you in advance for your cooperation.
>
>
>
>
type="text/html";
boundaryple-Mail-C1967A22-F0E0-44F4-8A1A-6C693F4F029F
CSLB won''t reinstate a license until the discharge is entered. Has your client gotten a discharge?Maybe someone else has a better theory, but people file bk and don't get discharges. So the CSlB waiting is prudent. The Auto Stay is an injunction against acts to collect a debt. What "act" has the CSLB taken? If the license was revoked prepetition, there is no violation of the auto stay. I tell contractors to get a discharge, then when there is no debt, the CSLB will have no impediment to issuing the license.dDennis McGoldrick, 350 S. Crenshaw Bl., #A207B, Torrance, Ca 90503 310-328-1001-voiceOn Nov 16, 2015, at 4:14 PM, 'Gerald McNally' gm@mcesq.com [cdcbaa] <cdcbaa@yahoogroups.com> wrote:

Listmates, Have you ever encountered this situation: 1. Contractor Debtor files for Ch7 relief. Among his debts are Materialmens invoices. (He paid his employees instead.)2. CSLB has informed him that he doesnt have the right to reinstatement of his license because of his alleged diversion of funds (i.e., not paying the materialmen).3. They cite some document from the 1940s. Questions: 1. Absent fraud (there is none), will this CSLB assertion hold up to deny his license?2. Is this a stay violation?3.4. Has anyone encountered this situation, and if so, how did you handle it?
The post was migrated from Yahoo.

Listmates,
Have you ever encountered this situation:
1. Contractor Debtor files for Ch7 relief. Among his debts are
Materialmens invoices. (He paid his employees instead.)
2. CSLB has informed him that he doesn't have the right to
reinstatement of his license because of his alleged "diversion of funds"
(i.e., not paying the materialmen).
3. They cite some document from the 1940s.
Questions:
1. Absent fraud (there is none), will this CSLB assertion hold up to
deny his license?
2. Is this a stay violation?
3. What is the appropriate remedy: (a) OSC for stay violation; (b)
Adversary; (c) None
4. Has anyone encountered this situation, and if so, how did you
handle it?
Gerry McNally
Notice to Recipient: This email is meant for only the intended recipient of
the transmission and may be a communication privileged by law. If you
received this email in error, review, use, dissemination, distribution or
copying of this email is strictly prohibited. Please notify us immediately
of the error by return email and please delete this message and any and all
duplicates of this message. Thank you in advance for your cooperation.

The post was migrated from Yahoo.