Closing Chapter 7 No Asset Cases
Last Updated: October 17, 2014

No asset cases are closed after:

1. All filing fees are paid;

2. 341 Meeting has been concluded;

3. Discharge Order has been entered;

4. Trustee's Report of No Distribution/No Assets is filed; and

5. No pending Motions, Applications, Adversaries, or Appeals.

Most Chapter 7 No Asset cases are closed via the Auto Close Program.  No action is necessary.

Dismissed and reopened cases will be manually closed and will not appear on the Auto Closing Report. A close case deadline is set when the order is entered. Refer to instructions for Closing Bankruptcy Cases.

Case administrators should review the Auto Close Report monthly to determine if any cases on the ineligible list can be closed.

What To Do:

Review Cases on the Auto Closing Report:

1. Generate the Automatic Closing Report [Reports > Auto Closing Rpt].

   • Select group 1.

   • When prompted select Ineligible cases and All.

   • Sort by Office, Terminal digit, and Case Number.

   • The report will list the cases as ineligible for closing.

2. Look at the Reason(s) for Ineligibility. Examples:

   • [Fees] Invalid fee status. Filing fee not paid.

   • [Pending Documents] Docket events which prohibit a case from being closed exist for the specified case. Pending motions, notice of amended schedules filed within 35 days, appeal, pending objection to exemptions, pending complaint, and dismissal order.

   • [Flags] Flags which prohibit a case from being closed exist for the specified case. Flags that prohibit a case from being closed include: hold closing, hold discharge, adversary pending, deficient, assets, assets undetermined, check case, converted, reopened, split case, transferred in, set hearing, consolidated, joint administration, amended schedules, amended schedules pending, request otsc, dismissed, past fee due, fee due, fee due in installments, consolidated, joint administration, audit-no close, reaffirmation hardship, action required, order action, dooms day order action, ap hold closing, and set reaffirmation hearing.

   • [Deadlines] Scheduled events which prohibit a case from being closed exist for the case. Pending deadlines such as hearings, pull proposed order, and incomplete filings due.

   • [Status] Case status which prohibit a case from being closed: awaiting trustee's report.

   • [Status] Case status required: awaiting closing.

3. After you have found the reason the case is on the ineligible list, determine if the case can be closed using the above reasons as a guide.

   • Check case status/deadlines to be sure 341 meeting was concluded.

   • Check for any pending deadlines and motions/applications.

   • Check for any pending adversaries or appeals.
     
     Note:  If there are no motions, adversaries, or appeals pending, the case can be closed. Even if the case is dismissed, any related adversaries should be closed before the main case is closed.

4. If the case can be closed:

   1. Terminate/remove/update the pending document/deadline/status that is holding closing. The case should then appear on the eligible list and will auto close.
      
      OR

   2. Close the case manually, docket [Bankruptcy > Court Events > Close Bk w/Final Decree (7/12/13)].

   1. • Clear any existing flags. If a filing fee is still due when case is to be closed (e.g., closed without discharge due to deficiency, or discharge denied, etc.) leave the flag on. Do not remove DeBN flag.

      • Terminate pending deadlines.

      • Terminate pending documents.

      • Pick Disposition from list.

      • End pending status if prompted.

Court Instructions