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Subchapter V Bankruptcy Rules Permanently Amended

On December 1, 2022, several important amendments to the Federal Rules of Bankruptcy Procedure (Rules) became permanent and will govern the procedures employed in cases filed under Subchapter V of Title 11 of the US Code...more

Illinois Bankruptcy Court: Preliminary Distributions Lock Subchapter V Plan 

In an issue of first impression for the jurisdiction, the Bankruptcy Court for the Northern District of Illinois has ruled that a subchapter V debtor “substantially consummated” its plan by paying less than $1,500 in...more

Fourth Circuit Rules That Corporate Small Business Debtors Under Subchapter V May Not Be Able to Discharge All Debts

On June 7, 2022, the Fourth Circuit Court of Appeals unanimously held that the exceptions to discharge found in section 523(a) of the Bankruptcy Code, which ordinarily exclusively apply to individual debtors, also apply to...more

Bankruptcy Legislation Update: House Passes Bill Preserving $7.5 Million Eligibility Threshold for Subchapter V; Legislation Ready...

The House has passed a bill that will now go to the President to sign into law that raises the eligible debt ceiling for Subchapter V of Chapter 11 to $7,500,000. Small businesses with up to $7,500,000 in noncontingent,...more

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