He can file bankruptcy and stop it instantly for a while...

If you signed a contract of any kind, your obligation will remain.The FCRA requires that all items on your credit report essentially meet four basic criteria - they must be:CompleteAccurateVerifiableTimelyEven bankruptcy and foreclosure items can contain errors requiring that they be removed from your credit report.

I was also notified by Lender that person declared bankruptcy but they were 4 mins late & property was already sold. 

Bankruptcies.

Having a subscription to a public records background check is very handy and for a minimal fee you can run background checks on the Sponsor including but not limited to civil lawsuits, criminal records, liens, judgments, bankruptcies, etc...

. - No open Bankruptcies - must be discharged 3 months prior to application- Criminal Record - no sex offenses, domestic violence, property damage, violent or fraud offenses - I don't include anything regarding current bills, credit score, etc. 

If an individual that signed a note has no assets, or sells everything, or files bankruptcy... likelihood you ever see anything is slim.  

One medical bankruptcy but I always overlook that.

Also, I don't know how the city will resolve the bankruptcy issue (Fed/State Bail out?

If your lucky this landlord of yours that didn't want to cooperate will realize he has a debt that he is liable for and no property as an asset & file for Bankruptcy.