3.0.0 3311 2022-11-01T13:50:29Z 2022-11-01T13:50:29Z House HR 2019-06-18 116 [Congressional Record Volume 165, Number 102 (Tuesday, June 18, 2019)][House]From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]By Mr. CLINE:H.R. 3311.Congress has the power to enact this legislation pursuantto the following:Article I, Section 8, Clause 4 of the United StatesConstitution, in that the legislation concerns theestablishment of a uniform law on bankruptcies throughout theUnited States; Article I, Section 8, Clause 18 of the UnitedStates Constitution, in that the legislation exerciseslegislative power granted to Congress by that clause ``tomake all Laws which shall be necessary and proper forcarrying into Execution the foregoing Powers, and all otherPowers vested by this Constitution in the Government of theUnited States, or in any Department or Officer thereof;'' andArticle III, Section 1, Clause 1, Sentence 1, and Section 2,Clause 1 of the Constitution, in that the legislation definesor affects judicial powers and cases that are subject tolegislation by Congress.[Page H4771]]]> hsju00 Judiciary Committee House Standing hsju05 Administrative State, Regulatory Reform, and Antitrust Subcommittee Referred to 2019-06-28T17:22:39Z Reported by 2019-07-23T18:48:25Z Markup by 2019-07-11T16:34:49Z Referred to 2019-06-18T04:01:15Z H. Rept. 116-171 Small Business Reorganization Act of 2019 116 1091 S 2019-04-09 Read twice and referred to the Committee on the Judiciary. Identical bill CRS 2019-08-23 Became Public Law No: 116-54. President E40000 2 House floor actions 2019-08-23 Became Public Law No: 116-54. BecameLaw 36000 9 Library of Congress 2019-08-23 Signed by President. President E30000 2 House floor actions 2019-08-23 Signed by President. BecameLaw 36000 9 Library of Congress 2019-08-13 Presented to President. Floor E20000 2 House floor actions 2019-08-13 Presented to President. President 28000 9 Library of Congress 2019-08-01 Senate Message on Senate action sent to the House. Floor 2019-08-01 Senate Passed Senate without amendment by Voice Vote. (consideration: CR S5321) Floor 2019-08-01 Passed/agreed to in Senate: Passed Senate without amendment by Voice Vote.(consideration: CR S5321) Floor 17000 9 Library of Congress 2019-07-24 Senate Received in the Senate, read twice. IntroReferral 2019-07-23 18:29:55 Motion to reconsider laid on the table Agreed to without objection. Floor H38310 2 House floor actions 2019-07-23 18:29:53 On motion to suspend the rules and pass the bill, as amended Agreed to by voice vote. (text: CR H7217-7219) Floor H37300 2 House floor actions 2019-07-23 18:29:53 Passed/agreed to in House: On motion to suspend the rules and pass the bill, as amended Agreed to by voice vote.(text: CR H7217-7219) Floor 8000 9 Library of Congress 2019-07-23 18:25:56 DEBATE - The House proceeded with forty minutes of debate on H.R. 3311. Floor H8D000 2 House floor actions 2019-07-23 18:25:55 Considered under suspension of the rules. (consideration: CR H7217-7220) Floor H30000 2 House floor actions 2019-07-23 18:25:47 Mr. Cicilline moved to suspend the rules and pass the bill, as amended. Floor H30300 2 House floor actions 2019-07-23 Placed on the Union Calendar, Calendar No. 131. Calendars H12410 2 House floor actions U00131 2019-07-23 Reported by the Committee on Judiciary. H. Rept. 116-171. Committee H12200 2 House floor actions hsju00 Judiciary Committee 2019-07-23 Reported by the Committee on Judiciary. H. Rept. 116-171. Committee 5000 9 Library of Congress hsju00 Judiciary Committee 2019-07-11 hsju00 Judiciary Committee 1 House committee actions Ordered to be Reported by Voice Vote. Committee 2019-07-11 hsju00 Judiciary Committee 1 House committee actions Committee Consideration and Mark-up Session Held. Committee 2019-06-28 hsju05 Administrative State, Regulatory Reform, and Antitrust Subcommittee 1 House committee actions Referred to the Subcommittee on Antitrust, Commercial, and Administrative Law. Committee 2019-06-18 Referred to the House Committee on the Judiciary. IntroReferral H11100 2 House floor actions hsju00 Judiciary Committee 2019-06-18 Introduced in House IntroReferral Intro-H 9 Library of Congress 2019-06-18 Introduced in House IntroReferral 1000 9 Library of Congress C001118 Rep. Cline, Ben [R-VA-6] Ben Cline R VA 6 N C001084 Rep. Cicilline, David N. [D-RI-1] David Cicilline D RI N. 1 2019-06-18 True C001093 Rep. Collins, Doug [R-GA-9] Doug Collins R GA 9 2019-06-18 True C001068 Rep. Cohen, Steve [D-TN-9] Steve Cohen D TN 9 2019-06-18 True Public Law 116-54 Finance and Financial Sector Bankruptcy Corporate finance and management Jurisdiction and venue Small business Finance and Financial Sector 00 2019-06-18 Introduced in House 2020-06-23T18:20:47Z Small Business Reorganization Act of 2019

This bill creates new bankruptcy procedures for small businesses filing under Chapter 11 and otherwise revises provisions related to venue and trustee responsibilities in Chapter 11 bankruptcies.

For small businesses filing under these new procedures, the bill provides for the appointment of a trustee, sets forth requirements regarding the filing, contents, and confirmation of a plan of reorganization, and establishes the conditions of a discharge.

Among other things, the bill provides authority to the bankruptcy court to approve a reorganization plan for these small businesses over the objections of the creditors. Currently, creditors must generally vote to approve such a plan. Additionally, only a debtor is allowed to file a plan. Under current law, creditors may also submit plans for court approval. The bill also generally reduces the required disclosures for these small businesses.

The bill also provides additional standards a trustee must meet in order to void a preferential transfer for all Chapter 11 filers. (Preferential transfers generally occur when a debtor transfers property before filing bankruptcy that is beneficial to one creditor to the detriment of others.) Specifically, a trustee may only void such a transfer based on reasonable due diligence and must take into account a party's known or reasonably knowable affirmative defenses.

]]> 53 2019-07-23 Passed House 2020-06-25T20:01:28Z Small Business Reorganization Act of 2019

This bill creates new bankruptcy procedures for small businesses filing for reorganization under Chapter 11 and otherwise revises provisions related to venue and trustee responsibilities in Chapter 11 bankruptcies.

(Sec. 2) The bill provides for the appointment of a trustee for a small business debtor filing under these new procedures. The trustee must assist in developing a reorganization plan, account for the property of the debtor, attend certain hearings and conferences, and ensure that the debtor complies with payments required under the plan.

As under current law, a debtor may operate their business as a debtor in possession during the reorganization. The bill sets forth the rights and powers of a debtor in possession, as well as the procedures for removing a debtor in possession.

The bill provides reporting requirements for debtors and reduces the amount of disclosures required by debtors under current law.

Under these new procedures, only a debtor is allowed to file a reorganization plan. Currently, creditors may also submit plans for court approval for small businesses filing under Chapter 11.

The bill sets forth requirements regarding the filing and contents of a plan of reorganization. A debtor must submit all or a portion of future income to the trustee as needed to execute the plan.

The bill provides authority to the bankruptcy court to approve a reorganization plan for small businesses over the objections of the creditors. However, the plan may not discriminate unfairly, and must be fair and equitable towards each class of claims or interests that is impaired under, and has not accepted, the plan. Currently, creditors must generally vote to approve such a plan. Under a fair and equitable plan as established by this bill, a debtor's projected disposable income for at least three years, but no longer than five, must go towards payments under the plan.

(Sec. 3) The bill also provides additional standards a trustee must meet in order to void a preferential transfer for all Chapter 11 filers. (Preferential transfers generally occur when a debtor transfers property before filing bankruptcy that is beneficial to one creditor to the detriment of others.) Specifically, a trustee may only void such a transfer based on reasonable due diligence and must take into account a party's known or reasonably knowable affirmative defenses.

The bill also revises venue criteria for proceedings connected with a Chapter 11 bankruptcy case. Currently, an action to recover a debt against a noninsider (i.e., those that are not relatives, general partners, and directors or officers of the debtor) of less than $13,650 must be brought in the district court where the defendant resides. The bill increases that amount to $25,000.

(Sec. 5) This bill takes effect 180 days after enactment.

]]> 55 2019-08-01 Passed Senate 2020-06-29T15:48:44Z Small Business Reorganization Act of 2019

This bill creates new bankruptcy procedures for small businesses filing for reorganization under Chapter 11 and otherwise revises provisions related to venue and trustee responsibilities in Chapter 11 bankruptcies.

(Sec. 2) The bill provides for the appointment of a trustee for a small business debtor filing under these new procedures. The trustee must assist in developing a reorganization plan, account for the property of the debtor, attend certain hearings and conferences, and ensure that the debtor complies with payments required under the plan.

As under current law, a debtor may operate their business as a debtor in possession during the reorganization. The bill sets forth the rights and powers of a debtor in possession, as well as the procedures for removing a debtor in possession.

The bill provides reporting requirements for debtors and reduces the amount of disclosures required by debtors under current law.

Under these new procedures, only a debtor is allowed to file a reorganization plan. Currently, creditors may also submit plans for court approval for small businesses filing under Chapter 11.

The bill sets forth requirements regarding the filing and contents of a plan of reorganization. A debtor must submit all or a portion of future income to the trustee as needed to execute the plan.

The bill provides authority to the bankruptcy court to approve a reorganization plan for small businesses over the objections of the creditors. However, the plan may not discriminate unfairly, and must be fair and equitable towards each class of claims or interests that is impaired under, and has not accepted, the plan. Currently, creditors must generally vote to approve such a plan. Under a fair and equitable plan as established by this bill, a debtor's projected disposable income for at least three years, but no longer than five, must go towards payments under the plan.

(Sec. 3) The bill also provides additional standards a trustee must meet in order to void a preferential transfer for all Chapter 11 filers. (Preferential transfers generally occur when a debtor transfers property before filing bankruptcy that is beneficial to one creditor to the detriment of others.) Specifically, a trustee may only void such a transfer based on reasonable due diligence and must take into account a party's known or reasonably knowable affirmative defenses.

The bill also revises venue criteria for proceedings connected with a Chapter 11 bankruptcy case. Currently, an action to recover a debt against a noninsider (i.e., those that are not relatives, general partners, and directors or officers of the debtor) of less than $13,650 must be brought in the district court where the defendant resides. The bill increases that amount to $25,000.

(Sec. 5) This bill takes effect 180 days after enactment.

]]> 49 2019-08-23 Public Law 2020-06-29T18:55:19Z Small Business Reorganization Act of 2019

This bill creates new bankruptcy procedures for small businesses filing for reorganization under Chapter 11 and otherwise revises provisions related to venue and trustee responsibilities in Chapter 11 bankruptcies.

(Sec. 2) The bill provides for the appointment of a trustee for a small business debtor filing under these new procedures. The trustee must assist in developing a reorganization plan, account for the property of the debtor, attend certain hearings and conferences, and ensure that the debtor complies with payments required under the plan.

As under current law, a debtor may operate their business as a debtor in possession during the reorganization. The bill sets forth the rights and powers of a debtor in possession, as well as the procedures for removing a debtor in possession.

The bill provides reporting requirements for debtors and reduces the amount of disclosures required by debtors under current law.

Under these new procedures, only a debtor is allowed to file a reorganization plan. Currently, creditors may also submit plans for court approval for small businesses filing under Chapter 11.

The bill sets forth requirements regarding the filing and contents of a plan of reorganization. A debtor must submit all or a portion of future income to the trustee as needed to execute the plan.

The bill provides authority to the bankruptcy court to approve a reorganization plan for small businesses over the objections of the creditors. However, the plan may not discriminate unfairly, and must be fair and equitable towards each class of claims or interests that is impaired under, and has not accepted, the plan. Currently, creditors must generally vote to approve such a plan. Under a fair and equitable plan as established by this bill, a debtor's projected disposable income for at least three years, but no longer than five, must go towards payments under the plan.

(Sec. 3) The bill also provides additional standards a trustee must meet in order to void a preferential transfer for all Chapter 11 filers. (Preferential transfers generally occur when a debtor transfers property before filing bankruptcy that is beneficial to one creditor to the detriment of others.) Specifically, a trustee may only void such a transfer based on reasonable due diligence and must take into account a party's known or reasonably knowable affirmative defenses.

The bill also revises venue criteria for proceedings connected with a Chapter 11 bankruptcy case. Currently, an action to recover a debt against a noninsider (i.e., those that are not relatives, general partners, and directors or officers of the debtor) of less than $13,650 must be brought in the district court where the defendant resides. The bill increases that amount to $25,000.

(Sec. 5) This bill takes effect 180 days after enactment.

]]> Small Business Reorganization Act of 2019 Display Title Small Business Reorganization Act of 2019 Official Title as Introduced To amend chapter 11 of title 11, United States Code, to address reorganization of small businesses, and for other purposes. Engrossed in House EH Short Title(s) as Passed House Small Business Reorganization Act of 2019 H House Engrossed in House EH Short Titles as Passed House Small Business Reorganization Act of 2019 H House Short Titles as Passed Senate Small Business Reorganization Act of 2019 S Senate Short Titles as Enacted Small Business Reorganization Act of 2019 Short Title(s) as Reported to House Small Business Reorganization Act of 2019 H House Reported in House RH Short Title(s) as Introduced Small Business Reorganization Act of 2019 Introduced in House IH Enrolled Bill https://www.govinfo.gov/content/pkg/BILLS-116hr3311enr/xml/BILLS-116hr3311enr.xml Received in Senate 2019-07-24T04:00:00Z https://www.govinfo.gov/content/pkg/BILLS-116hr3311rds/xml/BILLS-116hr3311rds.xml Reported in House 2019-07-23T04:00:00Z https://www.govinfo.gov/content/pkg/BILLS-116hr3311rh/xml/BILLS-116hr3311rh.xml Engrossed in House 2019-07-23T04:00:00Z https://www.govinfo.gov/content/pkg/BILLS-116hr3311eh/xml/BILLS-116hr3311eh.xml Introduced in House 2019-06-18T04:00:00Z https://www.govinfo.gov/content/pkg/BILLS-116hr3311ih/xml/BILLS-116hr3311ih.xml 2019-08-26T19:30:02Z https://www.govinfo.gov/content/pkg/PLAW-116publ54/uslm/PLAW-116publ54.xml Public Law 2019-08-23 Became Public Law No: 116-54. text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain. Congressional Research Service, Library of Congress This file contains bill summaries and statuses for federal legislation. A bill summary describes the most significant provisions of a piece of legislation and details the effects the legislative text may have on current law and federal programs. Bill summaries are authored by the Congressional Research Service (CRS) of the Library of Congress. As stated in Public Law 91-510 (2 USC 166 (d)(6)), one of the duties of CRS is "to prepare summaries and digests of bills and resolutions of a public general nature introduced in the Senate or House of Representatives". For more information, refer to the User Guide that accompanies this file.