A Discharge of a Debtor in Bankruptcy does not discharge a mortgage or lien against the Debtor’s property, unless such mortgage or lien was expressly avoided, eliminated or discharged by a bankruptcy court order.
Comment 1. PACER, an on-line data base maintained by the Federal Courts (http://pacer.psc.uscourts.gov/), provides for a search tool to determine if there has been a Bankruptcy filing in any of the Federal Bankruptcy Courts. If the examiner finds undischarged liens, the examiner should review the bankruptcy court file to determine the status of the liens.
Comment 2. Reference is made to Standard 21.2 for Sales Free and Clear of Liens and Interests.
History
September 20, 2012:
- This Standard was added.