Chapter 11 SmBus Sub V Consensual Plan
Click here to see this page in full context

 

Chapter 11 Small Business Subchapter V: Consensual Plan
Last Updated: March 17, 2025

11 U.S.C.
Fed. R. Bank. P. 1191(a), 1141(d)(1)(A) and 1181(a) 

Related Topics: Ch. 11 SmBus Sub V Petition Filing, Ch. 11 SmBus Sub V: Procedural Orders, Ch. 11 SmBus Sub V Plan (Filing), Scheduling Ch. 11 SmBus Sub V Plan Confirmation Hearing , Ch. 11 SmBus Sub V: Plan Confirmation, Ch. 11 SmBus Sub V: Non-Consensual Plan

CONSENSUAL Plan: Plan Confirmed Without Objection, under 1191(a) (Consensual)

Plan Payments

  • Plan payments are made DIRECTLY to creditors.

Debtor Discharge

  • Individual/Non-Individual Debtor(s) are Discharged immediately upon signing of the Order Confirming Plan under 1141(d)(1)(A) and 1181(a). 
    • Note: No separate Order of Discharge is entered.
    • Discharge Form 318ORV1 can be issued at Confirmation of a Consensual Plan for Individual Debtors.

Notice of Substantial Consummation

  • Pursuant to 1183(c)(2), the debtor shall file a Notice of Substantial Consummation within 14-days after the Plan has been Substantially Consummated. 
  • Docket [Bankruptcy > Notices > Notice of Substantial Consummation]

What To Do:

  1. Perform routine quality control.

    • Docketing of the Order Confirming Consensual Plan sets a 6-Month Status Deadline for filing the Notice of Substantial Consummation.

    • When Deadline appears in CMA:
      Review docket to ensure case was Consensual and the Notice of Substantial Consummation was filed. 

      • Notice NOT filed by the 6-month deadline

        • Set a SetHrg flag; Email the Calendar Clerk to set a Status of Substantial Consummation Hearing

      • Notice of Substantial Consummation filed timely

        • Terminate Deadline (no action required)

TRUSTEE ACTIONS

Final Report and Account (Chapter 11) and Report of No Distribution (TRUSTEE ACTIONS)

Upon Filing of the Notice of Substantial Confirmation, the Subchapter V Trustee Will File:

  1. File Compensation and Expense Requests

  2. Distribute Funds Held According to the Plan

  3. File Appropriate Report

    1. Report of No Distribution (NDR) 

      1. Filed if there have been No Distributions of Funds By Trustee

    2. Final Report and Account (TFR)

      1. Filed if Trustee Distributed Funds
        (Completed after the conclusion of the Trustee's administration of the case.)

        1. Subchapter V Trustee submits the Final Report and Account to the U.S. Trustee for review.

        2. U.S. Trustee files it with the Court.

Discharge of Subchapter V Trustee

Pursuant to 1183(c)(1) the Subchapter V Trustee is Discharged upon Substantial Consummation of the Plan (since payments are made directly to creditors).

What To Do:

  1. The Court will terminate the Trustee's services when the following are docketed:

    1. Order Confirming Consensual Plan under 1191(a)

    2. Notice of Substantial Consummation

    3. Final Fee Application

    4. Final Report

  2. Discharge Subchapter V Trustee

    • Docket Trustee Discharge under 1183(c)(1) [Bankruptcy > Court Events > Trustee Discharge 1183(c)(1)]

    • [virtual event] "Pursuant to 11 USC 1183(c)(1), the services of Subchapter V Trustee [insert name] are terminated."

Note: Sub V Trustee is discharged upon Substantial Consummation since the Debtor will make payments directly to creditors

 

UPDATES

03/17/2025  Page Origination