On December 1, 2022, the Federal Rules of Bankruptcy Procedure were updated to incorporate the interim rule changes based on the Small Business Reorganization Act of 2019, as well as to revise general rules 3002, 5005, 7004, and 8023.
The SBRA-Related Amendments are:
- Rule 1007 – Lists, Schedules, Statements, and Other Documents; Time Limits
- Rule 1020 – Chapter 11 Reorganization Case for Small Business Debtors
- Rule 2009 – Trustees for Estates When Joint Administration Ordered
- Rule 2012 – Substitution of Trustee or Successor Trustee; Accounting
- Rule 2015 – Duty to Keep Records, Make Reports, and Give Notice of Case or Change of Status
- Rule 3010 – Small Dividends and Payments in Cases Under Chapter 7, Subchapter V of Chapter 11, Chapter 12, and Chapter 13
- Rule 3011 – Unclaimed Funds in Cases Under Chapter 7, Subchapter V of Chapter 11, Chapter 12, and Chapter 13
- Rule 3014 – Election Under § 1111(b) by Secured Creditor in Chapter 9 Municipality or Chapter 11 Reorganization Case
- Rule 3016 – Filing of Plan and Disclosure Statement in a Chapter 9 Municipality or Chapter 11 Reorganization Case
- Rule 3017.1 – Court Consideration of Disclosure Statement in a Small Business Case or in a Case Under Subchapter V of Chapter 11
- New Rule 3017.2 – Fixing of Dates by the Court in Subchapter V Cases in Which There is No Disclosure Statement
- Rule 3018 – Acceptance or Rejection of Plan in a Chapter 9 Municipality or a Chapter 11 Reorganization Case
- Rule 3019 – Modification of Accepted Plan in a Chapter 9 Municipality or a Chapter 11 Reorganization Case
For more detailed explanations of these rule changes, see redlines of the amended text and committee notes on the changes in House Document 117-108.
The General Rule Amendments are:
- Rule 3002, Filing Proof of Claim or Interest. Rule 3002(c)(6) is amended to provide a single standard for granting motions for an extension of time to file a proof of claim, whether the creditor has a domestic address or a foreign address. If the notice to such creditor was “insufficient under the circumstances to give the creditor a reasonable time to file a proof of claim,” the court may grant an extension.
- Rule 5005, Filing and Transmittal of Papers. Subdivision (b)(1) is amended to authorize the clerk or parties to transmit papers to the United States trustee by electronic means in accordance with Rule 9036, regardless of whether the United States trustee is a registered user with the court’s electronic-filing system. Subdivision (b)(2) is amended to recognize that parties meeting transmittal obligations to the United States trustee using the court’s electronic-filing system need not file a statement evidencing transmittal under Rule 5005(b)(2) and also eliminates the requirement that statements evidencing transmittal filed under Rule 5005(b)(2) be verified.
- Rule 7004, Process; Service of Summons, Complaint. New subdivision (i) of this Rule is intended to reject those cases interpreting Rule 7004(b)(3) and Rule 7004(h) to require service on a named officer, managing or general agent or other agent, rather than use of their titles. Service to a corporation or partnership, unincorporated association or insured depository institution at its proper address directed to the attention of the “Chief Executive Officer,” “President,” “Officer for Receiving Service of Process,” “Managing Agent,” “General Agent,” “Officer,” or “Agent for Receiving Service of Process” (or similar titles) is sufficient.
- Rule 8023, Voluntary Dismissal. The amendment is intended to conform the rule to the revised version of Appellate Rule 42(b) on which it was modelled and clarifies that the fees that must be paid are court fees, not attorney’s fees. The rule does not alter the legal requirements governing court approval of a settlement, payment, or other consideration. The amendment clarifies that any order beyond mere dismissal, including approving a settlement, vacating, or remanding, requires a court order.
In addition to the rule amendments, there were changes to three forms: Official form 309E1, Notice of Chapter 11 Bankruptcy Case for Individuals or Joint Debtors; Official Form 309E2, Notice of Chapter 11 Bankruptcy Case for Individuals or Joint Debtors Under Subchapter V; and, most notably, Official Form 101, Voluntary Petition for Individuals Filing for Bankruptcy, which was modified to make clear that Part 1, Question 2 refers to personal names previously used by the debtor, not names used by other legal entities. This Form 101 must be used for any new case filed on after December 1, 2022, and failure to use the official form will result in a clerk’s notice of deficiency after a 14-day grace period.
For more information, please visit Current Rules of Practice & Procedure | United States Courts (uscourts.gov).