If your bankruptcy case has been dismissed, the automatic stay will be lifted. It will not go back into effect unless and until the judge grants your motion to reinstate the case.
Written by Attorney Jonathan Petts.
Updated September 13, 2021
One of the biggest benefits of filing bankruptcy is the automatic stay that goes into effect and keeps your creditors from pursuing collections activities against you. If your case has been dismissed, though, the automatic stay is lifted. In the meantime, your creditors may continue their efforts to collect on outstanding debts that otherwise would have been stayed and ultimately discharged with your bankruptcy filing.