Vermont Bankruptcy Courts (VT)
Abusive creditors and the Vermont Bankruptcy Court reaction to contempt
Abusive creditors tactics are a common occurrence. For the most part, creditors feel somewhat bulletproof despite knowing violations of federal and state laws, because victims tend to be financially incapable of mounting an effective defense, and far too often, apathetic authorities turn a blind eye toward violations. Recoverable damages resulting from abusive creditor practices are minimal, and seldom influence permanent change in tactics. But, if filing with the Vermont Bankruptcy Court, the automatic stays acts similarly as if a federal injunction prohibits further collection. Creditors who continue abusing debtors after filing run a very real and significant threat of incurring sanctions and may also be held in contempt of court.
Locating the Divisional Vermont Bankruptcy Courts For Specific Counties:
The District of the Vermont Bankruptcy Court provides two divisional offices located in Montpelier and Rutland.
Establishing abusive conduct may be difficult. The federal wiretapping statute prohibits individuals from tapping conversations, even their own conversations, without providing advance notice to all parties contained within a recording. All debtors run a significant risk of prosecution under federal wiretapping restrictions if recording conversations with creditors without providing advance warning. For this reason, most corporations play a standard recording before discussing any financial matter with customers. No, the purpose of recording is not quality assurance as most claim, unless these corporations are implying that the quality of admissible evidence and avoidance of federal wire tapping charges are assured.