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11 U.S.C. § 105Power of court

submitted 48 years ago by Pub. L. 95-598 to r/title-11-BANKRUPTCY · 412 words · no verdicts yet

in plain englishAI-generated · not legal advice

A bankruptcy court may issue any order needed to carry out bankruptcy law, and may act on its own even without a party asking, to enforce its orders or stop abuse of the process. It cannot appoint a receiver. Whether a district judge, officer, or employee may exercise bankruptcy powers is governed by title 28, and this doesn't exclude bankruptcy judges. The court must hold status conferences and may set deadlines and procedures, including detailed scheduling rules for Chapter 11 plans and disclosure statements.

(a) The court may issue any order, process, or judgment needed to carry out bankruptcy law. Even if a rule lets a party raise an issue, that doesn't stop the court from acting on its own to enforce its orders or rules, or to prevent abuse of the bankruptcy process. (b) Despite subsection (a), a bankruptcy court cannot appoint a receiver. (c) Whether a district judge, or another district court officer or employee, can use the powers this title gives the court is decided by the rules in title 28 that apply to that judge, officer, or employee. This does not exclude bankruptcy judges or other officers appointed under chapter 6 of title 28 from having those powers. (d) On its own, or when a party in interest asks, the court: (1) must hold status conferences needed to move the case toward a quick, low-cost resolution; and (2) may, unless it conflicts with another bankruptcy rule, set limits and conditions at such a conference to keep the case moving quickly and cheaply — including an order that: (A) sets a deadline for the trustee to accept or reject a contract or lease; or (B) in a Chapter 11 case, sets deadlines for the debtor or trustee to file a disclosure statement and plan, to seek acceptance of the plan, and — for anyone other than the debtor — to file a competing plan or seek acceptance of one; sets the format for notice about the disclosure-statement hearing; or allows that hearing to be combined with the hearing on approving the plan.
the actual law source: uscode.house.gov ↗public domain
(a)

The court may issue any order, process, or judgment that is necessary or appropriate to carry out the provisions of this title. No provision of this title providing for the raising of an issue by a party in interest shall be construed to preclude the court from, sua sponte, taking any action or making any determination necessary or appropriate to enforce or implement court orders or rules, or to prevent an abuse of process.

(b)

Notwithstanding subsection (a) of this section, a court may not appoint a receiver in a case under this title.

(c)

The ability of any district judge or other officer or employee of a district court to exercise any of the authority or responsibilities conferred upon the court under this title shall be determined by reference to the provisions relating to such judge, officer, or employee set forth in title 28. This subsection shall not be interpreted to exclude bankruptcy judges and other officers or employees appointed pursuant to chapter 6 of title 28 from its operation.

(d)

The court, on its own motion or on the request of a party in interest—

(1)

shall hold such status conferences as are necessary to further the expeditious and economical resolution of the case; and

(2)

unless inconsistent with another provision of this title or with applicable Federal Rules of Bankruptcy Procedure, may issue an order at any such conference prescribing such limitations and conditions as the court deems appropriate to ensure that the case is handled expeditiously and economically, including an order that—

(A)

sets the date by which the trustee must assume or reject an executory contract or unexpired lease; or

(B)

in a case under chapter 11 of this title—

(i)

sets a date by which the debtor, or trustee if one has been appointed, shall file a disclosure statement and plan;

(ii)

sets a date by which the debtor, or trustee if one has been appointed, shall solicit acceptances of a plan;

(iii)

sets the date by which a party in interest other than a debtor may file a plan;

(iv)

sets a date by which a proponent of a plan, other than the debtor, shall solicit acceptances of such plan;

(v)

fixes the scope and format of the notice to be provided regarding the hearing on approval of the disclosure statement; or

(vi)

provides that the hearing on approval of the disclosure statement may be combined with the hearing on confirmation of the plan.

Source credit: (Pub. L. 95–598, Nov. 6, 1978, 92 Stat. 2555; Pub. L. 98–353, title I, § 118, July 10, 1984, 98 Stat. 344; Pub. L. 99–554, title II, § 203, Oct. 27, 1986, 100 Stat. 3097; Pub. L. 103–394, title I, § 104(a), Oct. 22, 1994, 108 Stat. 4108; Pub. L. 109–8, title IV, § 440, Apr. 20, 2005, 119 Stat. 114; Pub. L. 111–327, § 2(a)(3), Dec. 22, 2010, 124 Stat. 3557.)

history & why it existsrecord from the source credit
  • 1978Enacted · Pub. L. 95-598 · 92 Stat. 2555
  • 1984Amended · Pub. L. 98-353 · 98 Stat. 344
  • 1986Amended · Pub. L. 99-554 · 100 Stat. 3097
  • 1994Amended · Pub. L. 103-394 · 108 Stat. 4108
  • 2005Amended · Pub. L. 109-8 · 119 Stat. 114
  • 2010Amended · Pub. L. 111-327 · 124 Stat. 3557

A history note hasn’t been published yet. The record shows enactment by Pub. L. 95-598 on 1978-11-06.

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