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An "Adversary Proceeding" in bankruptcy court has the same meaning as a lawsuit in other courts. This means that one or more "plaintiff(s)" file a "complaint" against one or more "defendant(s)." In many situations an adversary proceeding is required if a plaintiff wants to obtain a particular type of relief.
If the court grants a creditor or trustee's objection to a debt discharge, you'll remain responsible for paying the debt.Interested parties such as creditors or the trustee still have time to object to your bankruptcy discharge after your initial hearing.
A contested matter is initiated by a party in interest, including a debtor, filing a motion requesting relief (rather than a complaint) in the context of a main bankruptcy proceeding. When a party objects to the motion the matter is considered contested.
An adversary complaint is a type of civil lawsuit that may be brought against a debtor who is filing for bankruptcy. Although adversary complaints are related to the primary bankruptcy matter, they are considered a separate case.
An adversary proceeding (or AP) is a lawsuit filed separate from but related to the bankruptcy case. It is an action commenced by one or more Plaintiffs filing a Complaint against one or more Defendants and resembles a typical civil case. The Plaintiff is the person, partnership or corporation initiating the lawsuit.
The defendant in the adversary proceeding has an opportunity to respond to the complaint, either by filing an answer or a motion (for example, a motion to dismiss the complaint). If the defendant does not file a responsive pleading, the bankruptcy court can enter a default judgment against the defendant.