Bankruptcy and Claims 430-05-80-65

(Revised 03/01/06 ML3017)

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When a worker has been notified that a household has filed for bankruptcy, collection action must stop for all claims, pending the outcome of the court proceedings. The prohibition on collection action includes recoupment.

 

A copy of the Notice of Bankruptcy, Meeting of Creditors, and Deadlines and the Discharge of Debtor must be sent to the State Office.