Many people choose to lease cars rather than purchasing them. If you are currently in a lease for a car and file for Chapter 7 Bankruptcy you have two options with the lease. You can either:
Assume the lease-the lease will continue as if you never filed for bankruptcy.
Reject the lease-the lease will be canceled and you walk away from all rights and obligations under the lease.
If you are not current on payments with the lease, you can reject the lease and list the delinquency as a debt and have it discharged.
If you have any questions about bankruptcy please call 1st California Law at (949) 735-8499 for a free attorney consultation.