-CITE-
    11 USC CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL
           WITH REGULAR INCOME                             01/03/2007

-EXPCITE-
    TITLE 11 - BANKRUPTCY
    CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                  INCOME                          

-HEAD-
      CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                                  INCOME


-MISC1-
          SUBCHAPTER I - OFFICERS, ADMINISTRATION, AND THE ESTATE      
    Sec.                                                     
    1301.       Stay of action against codebtor.                      
    1302.       Trustee.                                              
    1303.       Rights and powers of debtor.                          
    1304.       Debtor engaged in business.                           
    1305.       Filing and allowance of postpetition claims.          
    1306.       Property of the estate.                               
    1307.       Conversion or dismissal.                              
    1308.       Filing of prepetition tax returns.                    

                         SUBCHAPTER II - THE PLAN                     
    1321.       Filing of plan.                                       
    1322.       Contents of plan.                                     
    1323.       Modification of plan before confirmation.             
    1324.       Confirmation hearing.                                 
    1325.       Confirmation of plan.                                 
    1326.       Payments.                                             
    1327.       Effect of confirmation.                               
    1328.       Discharge.                                            
    1329.       Modification of plan after confirmation.              
    1330.       Revocation of an order of confirmation.               

                                AMENDMENTS                            
      2005 - Pub. L. 109-8, title VII, Sec. 716(b)(2), Apr. 20, 2005,
    119 Stat. 130, added item 1308.

-End-


-CITE-
    11 USC SUBCHAPTER I - OFFICERS, ADMINISTRATION, AND THE
           ESTATE                                          01/03/2007

-EXPCITE-
    TITLE 11 - BANKRUPTCY
    CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                  INCOME                          
    SUBCHAPTER I - OFFICERS, ADMINISTRATION, AND THE ESTATE

-HEAD-
          SUBCHAPTER I - OFFICERS, ADMINISTRATION, AND THE ESTATE      

-End-



-CITE-
    11 USC Sec. 1301                                            01/03/2007

-EXPCITE-
    TITLE 11 - BANKRUPTCY
    CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                  INCOME                          
    SUBCHAPTER I - OFFICERS, ADMINISTRATION, AND THE ESTATE

-HEAD-
    Sec. 1301. Stay of action against codebtor

-STATUTE-
      (a) Except as provided in subsections (b) and (c) of this
    section, after the order for relief under this chapter, a creditor
    may not act, or commence or continue any civil action, to collect
    all or any part of a consumer debt of the debtor from any
    individual that is liable on such debt with the debtor, or that
    secured such debt, unless - 
        (1) such individual became liable on or secured such debt in
      the ordinary course of such individual's business; or
        (2) the case is closed, dismissed, or converted to a case under
      chapter 7 or 11 of this title.

      (b) A creditor may present a negotiable instrument, and may give
    notice of dishonor of such an instrument.
      (c) On request of a party in interest and after notice and a
    hearing, the court shall grant relief from the stay provided by
    subsection (a) of this section with respect to a creditor, to the
    extent that - 
        (1) as between the debtor and the individual protected under
      subsection (a) of this section, such individual received the
      consideration for the claim held by such creditor;
        (2) the plan filed by the debtor proposes not to pay such
      claim; or
        (3) such creditor's interest would be irreparably harmed by
      continuation of such stay.

      (d) Twenty days after the filing of a request under subsection
    (c)(2) of this section for relief from the stay provided by
    subsection (a) of this section, such stay is terminated with
    respect to the party in interest making such request, unless the
    debtor or any individual that is liable on such debt with the
    debtor files and serves upon such party in interest a written
    objection to the taking of the proposed action.

-SOURCE-
    (Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2645; Pub. L. 98-353, title
    III, Secs. 313, 524, July 10, 1984, 98 Stat. 355, 388.)


-MISC1-
                       HISTORICAL AND REVISION NOTES                   

                          LEGISLATIVE STATEMENTS                      
      Section 1301 of the House amendment is identical with the
    provision contained in section 1301 of the House bill and adopted
    by the Senate amendment. Section 1301(c)(1) indicates that a basis
    for lifting the stay is that the debtor did not receive
    consideration for the claim by the creditor, or in other words, the
    debtor is really the "codebtor." As with other sections in title
    11, the standard of receiving consideration is a general rule, but
    where two co-debtors have agreed to share liabilities in a
    different manner than profits it is the individual who does not
    ultimately bear the liability that is protected by the stay under
    section 1301.

                         SENATE REPORT NO. 95-989                     
      Subsection (a) automatically stays the holder of a claim based on
    a consumer debt of the chapter 13 debtor from acting or proceeding
    in any way, except as authorized pursuant to subsections (b) and
    (c), against an individual or the property of an individual liable
    with the chapter 13 debtor, unless such codebtor became liable in
    the ordinary course of his business, or unless the case is closed,
    dismissed, or converted to another chapter.
      Under the terms of the agreement with the codebtor who is not in
    bankruptcy, the creditor has a right to collect all payments to the
    extent they are not made by the debtor at the time they are due. To
    the extent to which a chapter 13 plan does not propose to pay a
    creditor his claims, the creditor may obtain relief from the court
    from the automatic stay and collect such claims from the codebtor.
    Conversely, a codebtor obtains the benefit of any payments made to
    the creditor under the plan. If a debtor defaults on scheduled
    payments under the plan, then the codebtor would be liable for the
    remaining deficiency; otherwise, payments not made under the plan
    may never be made by the codebtor. The obligation of the codebtor
    to make the creditor whole at the time payments are due remains.
      The automatic stay under this section pertains only to the
    collection of a consumer debt, defined by section 101(7) of this
    title to mean a debt incurred by an individual primarily for a
    personal, family, or household purpose. Therefore, not all debts
    owed by a chapter 13 debtor will be subject to the stay of the
    codebtor, particularly those business debts incurred by an
    individual with regular income, as defined by section 101(24) of
    this title, engaged in business, that is permitted by virtue of
    section 109(b) and section 1304 to obtain chapter 13 relief.
      Subsection (b) excepts the giving of notice of dishonor of a
    negotiable instrument from the reach of the codebtor stay.
      Under subsection (c), if the codebtor has property out of which
    the creditor's claim can be satisfied, the court can grant relief
    from the stay absent the transfer of a security interest in that
    property by the codebtor to the creditor. Correspondingly, if there
    is reasonable cause to believe that property is about to be
    disposed of by the codebtor which could be used to satisfy his
    obligation to the creditor, the court should lift the stay to allow
    the creditor to perfect his rights against such property. Likewise,
    if property is subject to rapid depreciation or decrease in value
    the stay should be lifted to allow the creditor to protect his
    rights to reach such property. Otherwise, the creditor's interest
    would be irreparably harmed by such stay. Property which could be
    used to satisfy the claim could be disposed of or encumbered and
    placed beyond the reach of the creditor. The creditor should be
    allowed to protect his rights to reach property which could satisfy
    his claim and prevent its erosion in value, disposal, or
    encumbrance.

                          HOUSE REPORT NO. 95-595                      
      This section is new. It is designed to protect a debtor operating
    under a chapter 13 individual repayment plan case by insulating him
    from indirect pressures from his creditors exerted through friends
    or relatives that may have cosigned an obligation of the debtor.
    The protection is limited, however, to ensure that the creditor
    involved does not lose the benefit of the bargain he made for a
    cosigner. He is entitled to full compensation, including any
    interest, fees, and costs provided for by the agreement under which
    the debtor obtained his loan. The creditor is simply required to
    share with other creditors to the extent that the debtor will repay
    him under the chapter 13 plan. The creditor is delayed, but his
    substantive rights are not affected.
      Subsection (a) is the operative subsection. It stays action by a
    creditor after an order for relief under chapter 13. The creditor
    may not act, or commence or continue any civil action, to collect
    all or any part of a consumer debt of the debtor from any
    individual that is liable on such debt with the debtor, or that has
    secured the debt, unless the individual became liable or secured
    the debt in the ordinary course of his business, or the case is
    closed, dismissed, or converted to chapter 7 or 11.
      Subsection (b) permits the creditor, notwithstanding the stay, to
    present a negotiable instrument and to give notice of dishonor of
    the instrument, in order to preserve his substantive rights against
    the codebtor as required by applicable nonbankruptcy law.
      Subsection (c) requires the court to grant relief from the stay
    in certain circumstances. The court must grant relief to the extent
    that the debtor does not propose to pay, under the plan, the amount
    owed to the creditor. The court must also grant relief to the
    extent that the debtor was really the codebtor in the transaction,
    that is, to the extent that the nondebtor party actually received
    the consideration for the claim held by the creditor. Finally, the
    court must grant relief to the extent that the creditor's interest
    would be irreparably harmed by the stay, for example, where the
    codebtor filed bankruptcy himself, or threatened to leave the
    locale, or lost his job.

                                AMENDMENTS                            
      1984 - Subsec. (c)(3). Pub. L. 98-353, Sec. 524, inserted
    "continuation of" after "by".
      Subsec. (d). Pub. L. 98-353, Sec. 313, added subsec. (d).

                     EFFECTIVE DATE OF 1984 AMENDMENT                 
      Amendment by Pub. L. 98-353 effective with respect to cases filed
    90 days after July 10, 1984, see section 552(a) of Pub. L. 98-353,
    set out as a note under section 101 of this title.

-End-



-CITE-
    11 USC Sec. 1302                                            01/03/2007

-EXPCITE-
    TITLE 11 - BANKRUPTCY
    CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                  INCOME                          
    SUBCHAPTER I - OFFICERS, ADMINISTRATION, AND THE ESTATE

-HEAD-
    Sec. 1302. Trustee

-STATUTE-
      (a) If the United States trustee appoints an individual under
    section 586(b) of title 28 to serve as standing trustee in cases
    under this chapter and if such individual qualifies under section
    322 of this title, then such individual shall serve as trustee in
    the case. Otherwise, the United States trustee shall appoint one
    disinterested person to serve as trustee in the case or the United
    States trustee may serve as a trustee in the case.
      (b) The trustee shall - 
        (1) perform the duties specified in sections 704(2), 704(3),
      704(4), 704(5), 704(6), 704(7), and 704(9) of this title;
        (2) appear and be heard at any hearing that concerns - 
          (A) the value of property subject to a lien;
          (B) confirmation of a plan; or
          (C) modification of the plan after confirmation;

        (3) dispose of, under regulations issued by the Director of the
      Administrative Office of the United States Courts, moneys
      received or to be received in a case under chapter XIII of the
      Bankruptcy Act;
        (4) advise, other than on legal matters, and assist the debtor
      in performance under the plan;
        (5) ensure that the debtor commences making timely payments
      under section 1326 of this title; and
        (6) if with respect to the debtor there is a claim for a
      domestic support obligation, provide the applicable notice
      specified in subsection (d).

      (c) If the debtor is engaged in business, then in addition to the
    duties specified in subsection (b) of this section, the trustee
    shall perform the duties specified in sections 1106(a)(3) and
    1106(a)(4) of this title.
      (d)(1) In a case described in subsection (b)(6) to which
    subsection (b)(6) applies, the trustee shall - 
        (A)(i) provide written notice to the holder of the claim
      described in subsection (b)(6) of such claim and of the right of
      such holder to use the services of the State child support
      enforcement agency established under sections 464 and 466 of the
      Social Security Act for the State in which such holder resides,
      for assistance in collecting child support during and after the
      case under this title; and
        (ii) include in the notice provided under clause (i) the
      address and telephone number of such State child support
      enforcement agency;
        (B)(i) provide written notice to such State child support
      enforcement agency of such claim; and
        (ii) include in the notice provided under clause (i) the name,
      address, and telephone number of such holder; and
        (C) at such time as the debtor is granted a discharge under
      section 1328, provide written notice to such holder and to such
      State child support enforcement agency of - 
          (i) the granting of the discharge;
          (ii) the last recent known address of the debtor;
          (iii) the last recent known name and address of the debtor's
        employer; and
          (iv) the name of each creditor that holds a claim that - 
            (I) is not discharged under paragraph (2) or (4) of section
          523(a); or
            (II) was reaffirmed by the debtor under section 524(c).

      (2)(A) The holder of a claim described in subsection (b)(6) or
    the State child support enforcement agency of the State in which
    such holder resides may request from a creditor described in
    paragraph (1)(C)(iv) the last known address of the debtor.
      (B) Notwithstanding any other provision of law, a creditor that
    makes a disclosure of a last known address of a debtor in
    connection with a request made under subparagraph (A) shall not be
    liable by reason of making that disclosure.

-SOURCE-
    (Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2645; Pub. L. 98-353, title
    III, Secs. 314, 525, July 10, 1984, 98 Stat. 356, 388; Pub. L. 99-
    554, title II, Secs. 228, 283(w), Oct. 27, 1986, 100 Stat. 3103,
    3118; Pub. L. 103-394, title V, Sec. 501(d)(37), Oct. 22, 1994, 108
    Stat. 4147; Pub. L. 109-8, title II, Sec. 219(d), Apr. 20, 2005,
    119 Stat. 58.)


-MISC1-
                       HISTORICAL AND REVISION NOTES                   

                          LEGISLATIVE STATEMENTS                      
      Section 1302 of the House amendment adopts a provision contained
    in the Senate amendment instead of the position taken in the House
    bill. Sections 1302(d) and (e) are modeled on the standing trustee
    system contained in the House bill with the court assuming
    supervisory functions in districts not under the pilot program.

                         SENATE REPORT NO. 95-989                     
      The principal administrator in a chapter 13 case is the chapter
    13 trustee. Experience under chapter XIII of the Bankruptcy Act
    [chapter 13 of former title 11] has shown that the more efficient
    and effective wage earner programs have been conducted by standing
    chapter XIII trustees who exercise a broad range of
    responsibilities in both the design and the effectuation of debtor
    plans.
      Subsection (a) provides administrative flexibility by permitting
    the bankruptcy judge to appoint an individual from the panel of
    trustees established pursuant to 28 U.S.C. Sec. 604(f) and
    qualified under section 322 of title 11, either to serve as a
    standing trustee in all chapter 13 cases filed in the district or a
    portion thereof, or to serve in a single case.
      Subsection (b)(1) makes it clear that the chapter 13 trustee is
    no mere disbursing agent of the monies paid to him by the debtor
    under the plan [section 1322(a)(1)], by imposing upon him certain
    relevant duties of a liquidation trustee prescribed by section 704
    of this title.
      Subsection (b)(2) requires the chapter 13 trustee to appear
    before and be heard by the bankruptcy court whenever the value of
    property secured by a lien or the confirmation or modification of a
    plan after confirmation as provided by sections 1323-1325 is
    considered by the court.
      Subsection (b)(3) requires the chapter 13 trustee to advise and
    counsel the debtor while under chapter 13, except on matters more
    appropriately left to the attorney for the debtor. The chapter 13
    trustee must also assist the debtor in performance under the plan
    by attempting to tailor the requirements of the plan to the
    changing needs and circumstances of the debtor during the extension
    period.
      Subsection (c) imposes on the trustee in a chapter 13 case filed
    by a debtor engaged in business the investigative and reporting
    duties normally required of a chapter 11 debtor or trustee as
    prescribed by section 1106(a)(3) and (4).

                          HOUSE REPORT NO. 95-595                      
      Subsection (d) gives the trustee an additional duty if the debtor
    is engaged in business, as defined in section 1304. The trustee
    must perform the duties specified in sections 1106(a)(3) and
    1106(a)(4), relating to investigation of the debtor.

-REFTEXT-
                            REFERENCES IN TEXT                        
      Chapter XIII of the Bankruptcy Act, referred to in subsec.
    (b)(3), is chapter XIII of act July 1, 1898, ch. 541, as added June
    22, 1938, ch. 575, Sec. 1, 52 Stat. 930, which was classified to
    chapter 13 (Sec. 1001 et seq.) of former Title 11.
      Sections 464 and 466 of the Social Security Act, referred to in
    subsec. (d)(1)(A)(i), are classified to sections 664 and 666,
    respectively, of Title 42, The Public Health and Welfare.


-MISC2-
                                AMENDMENTS                            
      2005 - Subsec. (b)(6). Pub. L. 109-8, Sec. 219(d)(1), added par.
    (6).
      Subsec. (d). Pub. L. 109-8, Sec. 219(d)(2), added subsec. (d).
      1994 - Subsec. (b)(3). Pub. L. 103-394 struck out "and" at end.
      1986 - Subsec. (a). Pub. L. 99-554, Sec. 228(1), amended subsec.
    (a) generally. Prior to amendment, subsec. (a) read as follows: "If
    the court has appointed an individual under subsection (d) of this
    section to serve as standing trustee in cases under this chapter
    and if such individual qualifies under section 322 of this title,
    then such individual shall serve as trustee in the case. Otherwise,
    the court shall appoint a person to serve as trustee in the case."
      Subsec. (d). Pub. L. 99-554, Sec. 228(2), struck out subsec. (d)
    which read as follows: "If the number of cases under this chapter
    commenced in a particular judicial district so warrant, the court
    may appoint one or more individuals to serve as standing trustee
    for such district in cases under this chapter."
      Subsec. (e). Pub. L. 99-554, Sec. 283(w), which directed the
    amendment of par. (1) by substituting "set for such individual" for
    "fix" could not be executed in view of the repeal of subsec. (e) by
    section 228(2) of Pub. L. 99-554. See 1984 Amendment note below.
      Pub. L. 99-554, Sec. 228(2), struck out subsec. (e) which read as
    follows:
      "(1) A court that has appointed an individual under subsection
    (d) of this section to serve as standing trustee in cases under
    this chapter shall set for such individual - 
        "(A) a maximum annual compensation, not to exceed the lowest
      annual rate of basic pay in effect for grade GS-16 of the General
      Schedule prescribed under section 5332 of title 5; and
        "(B) a percentage fee, not to exceed ten percent, based on such
      maximum annual compensation and the actual, necessary expenses
      incurred by such individual as standing trustee.
      "(2) Such individual shall collect such percentage fee from all
    payments under plans in the cases under this chapter for which such
    individual serves as standing trustee. Such individual shall pay
    annually to the Treasury - 
        "(A) any amount by which the actual compensation received by
      such individual exceeds five percent of all such payments made
      under plans in cases under this chapter for which such individual
      serves as standing trustee; and
        "(B) any amount by which the percentage fee fixed under
      paragraph (1)(B) of this subsection for all such cases exceeds - 
          "(i) such individual's actual compensation for such cases, as
        adjusted under subparagraph (A) of this paragraph; plus
          "(ii) the actual, necessary expenses incurred by such
        individual as standing trustee in such cases."
      1984 - Subsec. (b)(1). Pub. L. 98-353, Sec. 314(1), substituted
    "704(7), and 704(9) of this title" for "and 704(8) of this title".
      Subsec. (b)(2). Pub. L. 98-353, Sec. 314(2), struck out "and" at
    the end.
      Subsec. (b)(3) to (5). Pub. L. 98-353, Sec. 525(a), added par.
    (3) and redesignated former pars. (3) and (4) as (4) and (5),
    respectively.
      Pub. L. 98-353, Sec. 314(3), (4), substituted "; and" for the
    period at end of par. (3) and added par. (4).
      Subsec. (e)(1). Pub. L. 98-353, Sec. 525(b)(1), which directed
    the amendment of par. (4) by substituting "set for such individual"
    for "fix" was executed to par. (1) as the probable intent of
    Congress.
      Subsec. (e)(1)(A). Pub. L. 98-353, Sec. 525(b)(2), struck out
    "for such individual" after "a maximum annual compensation".
      Subsec. (e)(2)(A). Pub. L. 98-353, Sec. 525(b)(3), substituted
    "received by" for "of", and "of all such payments made" for "upon
    all payments".

                     EFFECTIVE DATE OF 2005 AMENDMENT                 
      Amendment by Pub. L. 109-8 effective 180 days after Apr. 20,
    2005, and not applicable with respect to cases commenced under this
    title before such effective date, except as otherwise provided, see
    section 1501 of Pub. L. 109-8, set out as a note under section 101
    of this title.

                     EFFECTIVE DATE OF 1994 AMENDMENT                 
      Amendment by Pub. L. 103-394 effective Oct. 22, 1994, and not
    applicable with respect to cases commenced under this title before
    Oct. 22, 1994, see section 702 of Pub. L. 103-394, set out as a
    note under section 101 of this title.

                     EFFECTIVE DATE OF 1986 AMENDMENT                 
      Effective date and applicability of amendment by section 228 of
    Pub. L. 99-554 dependent upon the judicial district involved, see
    section 302(d), (e) of Pub. L. 99-554, set out as a note under
    section 581 of Title 28, Judiciary and Judicial Procedure.
      Amendment by section 283 of Pub. L. 99-554 effective 30 days
    after Oct. 27, 1986, see section 302(a) of Pub. L. 99-554.

                     EFFECTIVE DATE OF 1984 AMENDMENT                 
      Amendment by Pub. L. 98-353 effective with respect to cases filed
    90 days after July 10, 1984, see section 552(a) of Pub. L. 98-353,
    set out as a note under section 101 of this title.

-End-



-CITE-
    11 USC Sec. 1303                                            01/03/2007

-EXPCITE-
    TITLE 11 - BANKRUPTCY
    CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                  INCOME                          
    SUBCHAPTER I - OFFICERS, ADMINISTRATION, AND THE ESTATE

-HEAD-
    Sec. 1303. Rights and powers of debtor

-STATUTE-
      Subject to any limitations on a trustee under this chapter, the
    debtor shall have, exclusive of the trustee, the rights and powers
    of a trustee under sections 363(b), 363(d), 363(e), 363(f), and
    363(l), of this title.

-SOURCE-
    (Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2646.)


-MISC1-
                       HISTORICAL AND REVISION NOTES                   

                          LEGISLATIVE STATEMENTS                      
      Section 1303 of the House amendment specifies rights and powers
    that the debtor has exclusive of the trustees. The section does not
    imply that the debtor does not also possess other powers
    concurrently with the trustee. For example, although section 1323
    is not specified in section 1303, certainly it is intended that the
    debtor has the power to sue and be sued.

                         SENATE REPORT NO. 95-989                     
      A chapter 13 debtor is vested with the identical rights and
    powers, and is subject to the same limitations in regard to their
    exercise, as those given a liquidation trustee by virtue of section
    363(b), (d), (e), (f), and (h) of title 11, relating to the sale,
    use or lease of property.

-End-



-CITE-
    11 USC Sec. 1304                                            01/03/2007

-EXPCITE-
    TITLE 11 - BANKRUPTCY
    CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                  INCOME                          
    SUBCHAPTER I - OFFICERS, ADMINISTRATION, AND THE ESTATE

-HEAD-
    Sec. 1304. Debtor engaged in business

-STATUTE-
      (a) A debtor that is self-employed and incurs trade credit in the
    production of income from such employment is engaged in business.
      (b) Unless the court orders otherwise, a debtor engaged in
    business may operate the business of the debtor and, subject to any
    limitations on a trustee under sections 363(c) and 364 of this
    title and to such limitations or conditions as the court
    prescribes, shall have, exclusive of the trustee, the rights and
    powers of the trustee under such sections.
      (c) A debtor engaged in business shall perform the duties of the
    trustee specified in section 704(8) of this title.

-SOURCE-
    (Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2646; Pub. L. 98-353, title
    III, Secs. 311(b)(2), 526, July 10, 1984, 98 Stat. 355, 389.)


-MISC1-
                       HISTORICAL AND REVISION NOTES                   

                          LEGISLATIVE STATEMENTS                      
      Section 1304(b) of the House amendment adopts the approach taken
    in the comparable section of the Senate amendment as preferable to
    the position taken in the House bill.

                         SENATE REPORT NO. 95-989                     
      Increased access to the simpler, speedier, and less expensive
    debtor relief provisions of chapter 13 is accomplished by
    permitting debtors engaged in business to proceed under chapter 13,
    provided their income is sufficiently stable and regular to permit
    compliance with a chapter 13 plan [section 101(24)] and that the
    debtor (or the debtor and spouse) do not owe liquidated,
    noncontingent unsecured debts of $50,000, or liquidated,
    noncontingent secured debts of $200,000 (Sec. 109(d)).
      Section 1304(a) states that a self-employed individual who incurs
    trade credit in the production of income is a debtor engaged in
    business.
      Subsection (b) empowers a chapter 13 debtor engaged in business
    to operate his business, subject to the rights, powers and
    limitations that pertain to a trustee under sections 363(c) and 364
    of title 11, and subject to such further limitations and conditions
    as the court may prescribe.
      Subsection (c) requires a chapter 13 debtor engaged in business
    to file with the court certain financial statements relating to the
    operation of the business.

                                AMENDMENTS                            
      1984 - Subsec. (b). Pub. L. 98-353, Sec. 526, struck out the
    comma after "of the debtor".
      Subsec. (c). Pub. L. 98-353, Sec. 311(b)(2), substituted "section
    704(8)" for "section 704(7)".

                     EFFECTIVE DATE OF 1984 AMENDMENT                 
      Amendment by Pub. L. 98-353 effective with respect to cases filed
    90 days after July 10, 1984, see section 552(a) of Pub. L. 98-353,
    set out as a note under section 101 of this title.

-End-



-CITE-
    11 USC Sec. 1305                                            01/03/2007

-EXPCITE-
    TITLE 11 - BANKRUPTCY
    CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                  INCOME                          
    SUBCHAPTER I - OFFICERS, ADMINISTRATION, AND THE ESTATE

-HEAD-
    Sec. 1305. Filing and allowance of postpetition claims

-STATUTE-
      (a) A proof of claim may be filed by any entity that holds a
    claim against the debtor - 
        (1) for taxes that become payable to a governmental unit while
      the case is pending; or
        (2) that is a consumer debt, that arises after the date of the
      order for relief under this chapter, and that is for property or
      services necessary for the debtor's performance under the plan.

      (b) Except as provided in subsection (c) of this section, a claim
    filed under subsection (a) of this section shall be allowed or
    disallowed under section 502 of this title, but shall be determined
    as of the date such claim arises, and shall be allowed under
    section 502(a), 502(b), or 502(c) of this title, or disallowed
    under section 502(d) or 502(e) of this title, the same as if such
    claim had arisen before the date of the filing of the petition.
      (c) A claim filed under subsection (a)(2) of this section shall
    be disallowed if the holder of such claim knew or should have known
    that prior approval by the trustee of the debtor's incurring the
    obligation was practicable and was not obtained.

-SOURCE-
    (Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2647.)


-MISC1-
                       HISTORICAL AND REVISION NOTES                   

                          LEGISLATIVE STATEMENTS                      
      Section 1305(a)(2) of the House amendment modifies similar
    provisions contained in the House and Senate bills by restricting
    application of the paragraph to a consumer debt. Debts of the
    debtor that are not consumer debts should not be subjected to
    section 1305(c) or section 1328(d) of the House amendment.
      Section 1305(b) of the House amendment represents a technical
    modification of similar provisions contained in the House bill and
    Senate amendment.
      The House amendment deletes section 1305(d) of the Senate
    amendment as unnecessary. Section 502(b)(1) is sufficient to
    disallow any claim to the extent the claim represents the usurious
    interest or any other charge forbidden by applicable law. It is
    anticipated that the Rules of Bankruptcy Procedure may require a
    creditor filing a proof of claim in a case under chapter 13 to
    include an affirmative statement as contemplated by section 1305(d)
    of the Senate amendment.

                         SENATE REPORT NO. 95-989                     
      Section 1305, exclusively applicable in chapter 13 cases,
    supplements the provisions of sections 501-511 of title 11, dealing
    with the filing and allowance of claims. Sections 501-511 apply in
    chapter 13 cases by virtue of section 103(a) of this title. Section
    1305(a) provides for the filing of a proof of claim for taxes and
    other obligations incurred after the filing of the chapter 13 case.
    Subsection (b) prescribes that section 502 of title 11 governs the
    allowance of section 1305(a) claims, except that its standards
    shall be applied as of the date of allowance of the claim, rather
    than the date of filing of the petition. Subsection (c) requires
    the disallowance of a postpetition claim for property or services
    necessary for the debtor's performance under the plan, if the
    holder of the claim knew or should have known that prior approval
    by the trustee of the debtor's incurring of the obligation was
    practicable and was not obtained.

                          HOUSE REPORT NO. 95-595                      
      Subsection (a) permits the filing of a proof of a claim against
    the debtor that is for taxes that become payable to a governmental
    unit while the case is pending, or that arises after the date of
    the filing of the petition for property or services that are
    necessary for the debtor's performance under the plan, such as auto
    repairs in order that the debtor will be able to get to work, or
    medical bills. The effect of the latter provision, in paragraph
    (2), is to treat postpetition credit extended to a chapter 13
    debtor the same as a prepetition claim for purposes of allowance,
    distribution, and so on.

-End-



-CITE-
    11 USC Sec. 1306                                            01/03/2007

-EXPCITE-
    TITLE 11 - BANKRUPTCY
    CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                  INCOME                          
    SUBCHAPTER I - OFFICERS, ADMINISTRATION, AND THE ESTATE

-HEAD-
    Sec. 1306. Property of the estate

-STATUTE-
      (a) Property of the estate includes, in addition to the property
    specified in section 541 of this title - 
        (1) all property of the kind specified in such section that the
      debtor acquires after the commencement of the case but before the
      case is closed, dismissed, or converted to a case under chapter
      7, 11, or 12 of this title, whichever occurs first; and
        (2) earnings from services performed by the debtor after the
      commencement of the case but before the case is closed,
      dismissed, or converted to a case under chapter 7, 11, or 12 of
      this title, whichever occurs first.

      (b) Except as provided in a confirmed plan or order confirming a
    plan, the debtor shall remain in possession of all property of the
    estate.

-SOURCE-
    (Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2647; Pub. L. 99-554, title
    II, Sec. 257(u), Oct. 27, 1986, 100 Stat. 3116.)


-MISC1-
                       HISTORICAL AND REVISION NOTES                   

                          LEGISLATIVE STATEMENTS                      
      Section 1306(a)(2) adopts a provision contained in the Senate
    amendment in preference to a similar provision contained in the
    House bill.

                         SENATE REPORT NO. 95-989                     
      Section 541 is expressly made applicable to chapter 13 cases by
    section 103(a). Section 1306 broadens the definition of property of
    the estate for chapter 13 purposes to include all property acquired
    and all earnings from services performed by the debtor after the
    commencement of the case.
      Subsection (b) nullifies the effect of section 521(3), otherwise
    applicable, by providing that a chapter 13 debtor need not
    surrender possession of property of the estate, unless required by
    the plan or order of confirmation.

                                AMENDMENTS                            
      1986 - Subsec. (a). Pub. L. 99-554 inserted reference to chapter
    12 in pars. (1) and (2).

                     EFFECTIVE DATE OF 1986 AMENDMENT                 
      Amendment by Pub. L. 99-554 effective 30 days after Oct. 27,
    1986, but not applicable to cases commenced under this title before
    that date, see section 302(a), (c)(1) of Pub. L. 99-554, set out as
    a note under section 581 of Title 28, Judiciary and Judicial
    Procedure.

-End-



-CITE-
    11 USC Sec. 1307                                            01/03/2007

-EXPCITE-
    TITLE 11 - BANKRUPTCY
    CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                  INCOME                          
    SUBCHAPTER I - OFFICERS, ADMINISTRATION, AND THE ESTATE

-HEAD-
    Sec. 1307. Conversion or dismissal

-STATUTE-
      (a) The debtor may convert a case under this chapter to a case
    under chapter 7 of this title at any time. Any waiver of the right
    to convert under this subsection is unenforceable.
      (b) On request of the debtor at any time, if the case has not
    been converted under section 706, 1112, or 1208 of this title, the
    court shall dismiss a case under this chapter. Any waiver of the
    right to dismiss under this subsection is unenforceable.
      (c) Except as provided in subsection (e) (!1) of this section, on
    request of a party in interest or the United States trustee and
    after notice and a hearing, the court may convert a case under this
    chapter to a case under chapter 7 of this title, or may dismiss a
    case under this chapter, whichever is in the best interests of
    creditors and the estate, for cause, including - 

        (1) unreasonable delay by the debtor that is prejudicial to
      creditors;
        (2) nonpayment of any fees and charges required under chapter
      123 of title 28;
        (3) failure to file a plan timely under section 1321 of this
      title;
        (4) failure to commence making timely payments under section
      1326 of this title;
        (5) denial of confirmation of a plan under section 1325 of this
      title and denial of a request made for additional time for filing
      another plan or a modification of a plan;
        (6) material default by the debtor with respect to a term of a
      confirmed plan;
        (7) revocation of the order of confirmation under section 1330
      of this title, and denial of confirmation of a modified plan
      under section 1329 of this title;
        (8) termination of a confirmed plan by reason of the occurrence
      of a condition specified in the plan other than completion of
      payments under the plan;
        (9) only on request of the United States trustee, failure of
      the debtor to file, within fifteen days, or such additional time
      as the court may allow, after the filing of the petition
      commencing such case, the information required by paragraph (1)
      of section 521;
        (10) only on request of the United States trustee, failure to
      timely file the information required by paragraph (2) of section
      521; or
        (11) failure of the debtor to pay any domestic support
      obligation that first becomes payable after the date of the
      filing of the petition.

      (d) Except as provided in subsection (e) of this section, at any
    time before the confirmation of a plan under section 1325 of this
    title, on request of a party in interest or the United States
    trustee and after notice and a hearing, the court may convert a
    case under this chapter to a case under chapter 11 or 12 of this
    title.
      (e) Upon the failure of the debtor to file a tax return under
    section 1308, on request of a party in interest or the United
    States trustee and after notice and a hearing, the court shall
    dismiss a case or convert a case under this chapter to a case under
    chapter 7 of this title, whichever is in the best interest of the
    creditors and the estate.
      (f) The court may not convert a case under this chapter to a case
    under chapter 7, 11, or 12 of this title if the debtor is a farmer,
    unless the debtor requests such conversion.
      (g) Notwithstanding any other provision of this section, a case
    may not be converted to a case under another chapter of this title
    unless the debtor may be a debtor under such chapter.

-SOURCE-
    (Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2647; Pub. L. 98-353, title
    III, Secs. 315, 527, July 10, 1984, 98 Stat. 356, 389; Pub. L. 99-
    554, title II, Secs. 229, 257(v), Oct. 27, 1986, 100 Stat. 3103,
    3116; Pub. L. 109-8, title II, Sec. 213(7), title VII, Sec. 716(c),
    Apr. 20, 2005, 119 Stat. 53, 130.)


-MISC1-
                       HISTORICAL AND REVISION NOTES                   

                          LEGISLATIVE STATEMENTS                      
      Section 1307(a) is derived from the Senate amendment in
    preference to a comparable provision contained in the House bill.

                         SENATE REPORT NO. 95-989                     
      Subsections (a) and (b) confirm, without qualification, the
    rights of a chapter 13 debtor to convert the case to a liquidating
    bankruptcy case under chapter 7 of title 11, at any time, or to
    have the chapter 13 case dismissed. Waiver of any such right is
    unenforceable. Subsection (c) specifies various conditions for the
    exercise of the power of the court to convert a chapter 13 case to
    one under chapter 7 or to dismiss the case. Subsection (d) deals
    with the conversion of a chapter 13 case to one under chapter 11.
    Subsection (e) prohibits conversion of the chapter 13 case filed by
    a farmer to chapter 7 or 11 except at the request of the debtor. No
    case is to be converted from chapter 13 to any other chapter,
    unless the debtor is an eligible debtor under the new chapter.

                          HOUSE REPORT NO. 95-595                      
      Subsection (f) reinforces section 109 by prohibiting conversion
    to a chapter under which the debtor is not eligible to proceed.

-REFTEXT-
                            REFERENCES IN TEXT                        
      Subsection (e) of this section, referred to in subsec. (c), was
    redesignated as subsec. (d) of this section, and a new subsec. (e)
    was added, by Pub. L. 109-8, title VII, Sec. 716(c), Apr. 20, 2005,
    119 Stat. 130.


-MISC2-
                                AMENDMENTS                            
      2005 - Subsec. (c)(11). Pub. L. 109-8, Sec. 213(7), added par.
    (11).
      Subsecs. (e) to (g). Pub. L. 109-8, Sec. 716(c), added subsec.
    (e) and redesignated former subsecs. (e) and (f) as (f) and (g),
    respectively.
      1986 - Subsec. (b). Pub. L. 99-554, Sec. 257(v)(1), inserted
    reference to section 1208 of this title.
      Subsec. (c). Pub. L. 99-554, Sec. 229(1)(A), inserted "or the
    United States trustee" after "party in interest" in provisions
    preceding par. (1).
      Subsec. (c)(9), (10). Pub. L. 99-554, Sec. 229(1)(B)-(D), added
    pars. (9) and (10).
      Subsec. (d). Pub. L. 99-554, Sec. 257(v)(2), inserted reference
    to chapter 12.
      Pub. L. 99-554, Sec. 229(2), inserted "or the United States
    trustee" after "party in interest".
      Subsec. (e). Pub. L. 99-554, Sec. 257(v)(3), inserted reference
    to chapter 12.
      1984 - Subsec. (b). Pub. L. 98-353, Sec. 527(a), inserted a comma
    after "time".
      Subsec. (c)(4). Pub. L. 98-353, Sec. 315(2), added par. (4).
    Former par. (4) redesignated (5).
      Subsec. (c)(5). Pub. L. 98-353, Secs. 315(1), 527(b)(1),
    redesignated former par. (4) as (5) and inserted "a request made
    for" before "additional". Former par. (5) redesignated (6).
      Subsec. (c)(6). Pub. L. 98-353, Sec. 315(1), redesignated former
    par. (5) as (6). Former par. (6) redesignated (7).
      Subsec. (c)(7). Pub. L. 98-353, Secs. 315(1), 527(b)(2),
    redesignated former par. (6) as (7) and substituted "or" for "and".
    Former par. (7) redesignated (8).
      Subsec. (c)(8). Pub. L. 98-353, Secs. 315(1), 527(b)(3),
    redesignated former par. (7) as (8) and inserted "other than
    completion of payments under the plan" after "in the plan".

                     EFFECTIVE DATE OF 2005 AMENDMENT                 
      Amendment by Pub. L. 109-8 effective 180 days after Apr. 20,
    2005, and not applicable with respect to cases commenced under this
    title before such effective date, except as otherwise provided, see
    section 1501 of Pub. L. 109-8, set out as a note under section 101
    of this title.

                     EFFECTIVE DATE OF 1986 AMENDMENT                 
      Effective date and applicability of amendment by section 229 of
    Pub. L. 99-554 dependent upon the judicial district involved, see
    section 302(d), (e) of Pub. L. 99-554, set out as a note under
    section 581 of Title 28, Judiciary and Judicial Procedure.
      Amendment by section 257 of Pub. L. 99-554 effective 30 days
    after Oct. 27, 1986, but not applicable to cases commenced under
    this title before that date, see section 302(a), (c)(1) of Pub. L.
    99-554.

                     EFFECTIVE DATE OF 1984 AMENDMENT                 
      Amendment by Pub. L. 98-353 effective with respect to cases filed
    90 days after July 10, 1984, see section 552(a) of Pub. L. 98-353,
    set out as a note under section 101 of this title.

-FOOTNOTE-
    (!1) See References in Text note below.


-End-



-CITE-
    11 USC Sec. 1308                                            01/03/2007

-EXPCITE-
    TITLE 11 - BANKRUPTCY
    CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                  INCOME                          
    SUBCHAPTER I - OFFICERS, ADMINISTRATION, AND THE ESTATE

-HEAD-
    Sec. 1308. Filing of prepetition tax returns

-STATUTE-
      (a) Not later than the day before the date on which the meeting
    of the creditors is first scheduled to be held under section
    341(a), if the debtor was required to file a tax return under
    applicable nonbankruptcy law, the debtor shall file with
    appropriate tax authorities all tax returns for all taxable periods
    ending during the 4-year period ending on the date of the filing of
    the petition.
      (b)(1) Subject to paragraph (2), if the tax returns required by
    subsection (a) have not been filed by the date on which the meeting
    of creditors is first scheduled to be held under section 341(a),
    the trustee may hold open that meeting for a reasonable period of
    time to allow the debtor an additional period of time to file any
    unfiled returns, but such additional period of time shall not
    extend beyond - 
        (A) for any return that is past due as of the date of the
      filing of the petition, the date that is 120 days after the date
      of that meeting; or
        (B) for any return that is not past due as of the date of the
      filing of the petition, the later of - 
          (i) the date that is 120 days after the date of that meeting;
        or
          (ii) the date on which the return is due under the last
        automatic extension of time for filing that return to which the
        debtor is entitled, and for which request is timely made, in
        accordance with applicable nonbankruptcy law.

      (2) After notice and a hearing, and order entered before the
    tolling of any applicable filing period determined under this
    subsection, if the debtor demonstrates by a preponderance of the
    evidence that the failure to file a return as required under this
    subsection is attributable to circumstances beyond the control of
    the debtor, the court may extend the filing period established by
    the trustee under this subsection for - 
        (A) a period of not more than 30 days for returns described in
      paragraph (1); and
        (B) a period not to extend after the applicable extended due
      date for a return described in paragraph (2).(!1)


      (c) For purposes of this section, the term "return" includes a
    return prepared pursuant to subsection (a) or (b) of section 6020
    of the Internal Revenue Code of 1986, or a similar State or local
    law, or a written stipulation to a judgment or a final order
    entered by a nonbankruptcy tribunal.

-SOURCE-
    (Added Pub. L. 109-8, title VII, Sec. 716(b)(1), Apr. 20, 2005, 119
    Stat. 129.)

-REFTEXT-
                            REFERENCES IN TEXT                        
      Section 6020 of the Internal Revenue Code of 1986, referred to in
    subsec. (c), is classified to section 6020 of Title 26, Internal
    Revenue Code.


-MISC1-
                              EFFECTIVE DATE                          
      Section effective 180 days after Apr. 20, 2005, and not
    applicable with respect to cases commenced under this title before
    such effective date, except as otherwise provided, see section 1501
    of Pub. L. 109-8, set out as an Effective Date of 2005 Amendment
    note under section 101 of this title.

-FOOTNOTE-               

    (!1) So in original.


-End-


-CITE-
    11 USC SUBCHAPTER II - THE PLAN                             01/03/2007

-EXPCITE-
    TITLE 11 - BANKRUPTCY
    CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                  INCOME                          
    SUBCHAPTER II - THE PLAN

-HEAD-
                         SUBCHAPTER II - THE PLAN                     

-End-



-CITE-
    11 USC Sec. 1321                                            01/03/2007

-EXPCITE-
    TITLE 11 - BANKRUPTCY
    CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                  INCOME                          
    SUBCHAPTER II - THE PLAN

-HEAD-
    Sec. 1321. Filing of plan

-STATUTE-
      The debtor shall file a plan.

-SOURCE-
    (Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2648.)


-MISC1-
                       HISTORICAL AND REVISION NOTES                   

                         SENATE REPORT NO. 95-989                     
      Chapter 13 contemplates the filing of a plan only by the debtor.

-End-



-CITE-
    11 USC Sec. 1322                                            01/03/2007

-EXPCITE-
    TITLE 11 - BANKRUPTCY
    CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                  INCOME                          
    SUBCHAPTER II - THE PLAN

-HEAD-
    Sec. 1322. Contents of plan

-STATUTE-
      (a) The plan shall - 
        (1) provide for the submission of all or such portion of future
      earnings or other future income of the debtor to the supervision
      and control of the trustee as is necessary for the execution of
      the plan;
        (2) provide for the full payment, in deferred cash payments, of
      all claims entitled to priority under section 507 of this title,
      unless the holder of a particular claim agrees to a different
      treatment of such claim;
        (3) if the plan classifies claims, provide the same treatment
      for each claim within a particular class; and
        (4) notwithstanding any other provision of this section, a plan
      may provide for less than full payment of all amounts owed for a
      claim entitled to priority under section 507(a)(1)(B) only if the
      plan provides that all of the debtor's projected disposable
      income for a 5-year period beginning on the date that the first
      payment is due under the plan will be applied to make payments
      under the plan.

      (b) Subject to subsections (a) and (c) of this section, the plan
    may - 
        (1) designate a class or classes of unsecured claims, as
      provided in section 1122 of this title, but may not discriminate
      unfairly against any class so designated; however, such plan may
      treat claims for a consumer debt of the debtor if an individual
      is liable on such consumer debt with the debtor differently than
      other unsecured claims;
        (2) modify the rights of holders of secured claims, other than
      a claim secured only by a security interest in real property that
      is the debtor's principal residence, or of holders of unsecured
      claims, or leave unaffected the rights of holders of any class of
      claims;
        (3) provide for the curing or waiving of any default;
        (4) provide for payments on any unsecured claim to be made
      concurrently with payments on any secured claim or any other
      unsecured claim;
        (5) notwithstanding paragraph (2) of this subsection, provide
      for the curing of any default within a reasonable time and
      maintenance of payments while the case is pending on any
      unsecured claim or secured claim on which the last payment is due
      after the date on which the final payment under the plan is due;
        (6) provide for the payment of all or any part of any claim
      allowed under section 1305 of this title;
        (7) subject to section 365 of this title, provide for the
      assumption, rejection, or assignment of any executory contract or
      unexpired lease of the debtor not previously rejected under such
      section;
        (8) provide for the payment of all or part of a claim against
      the debtor from property of the estate or property of the debtor;
        (9) provide for the vesting of property of the estate, on
      confirmation of the plan or at a later time, in the debtor or in
      any other entity;
        (10) provide for the payment of interest accruing after the
      date of the filing of the petition on unsecured claims that are
      nondischargeable under section 1328(a), except that such interest
      may be paid only to the extent that the debtor has disposable
      income available to pay such interest after making provision for
      full payment of all allowed claims; and
        (11) include any other appropriate provision not inconsistent
      with this title.

      (c) Notwithstanding subsection (b)(2) and applicable
    nonbankruptcy law - 
        (1) a default with respect to, or that gave rise to, a lien on
      the debtor's principal residence may be cured under paragraph (3)
      or (5) of subsection (b) until such residence is sold at a
      foreclosure sale that is conducted in accordance with applicable
      nonbankruptcy law; and
        (2) in a case in which the last payment on the original payment
      schedule for a claim secured only by a security interest in real
      property that is the debtor's principal residence is due before
      the date on which the final payment under the plan is due, the
      plan may provide for the payment of the claim as modified
      pursuant to section 1325(a)(5) of this title.

      (d)(1) If the current monthly income of the debtor and the
    debtor's spouse combined, when multiplied by 12, is not less than -
    
        (A) in the case of a debtor in a household of 1 person, the
      median family income of the applicable State for 1 earner;
        (B) in the case of a debtor in a household of 2, 3, or 4
      individuals, the highest median family income of the applicable
      State for a family of the same number or fewer individuals; or
        (C) in the case of a debtor in a household exceeding 4
      individuals, the highest median family income of the applicable
      State for a family of 4 or fewer individuals, plus $525 per month
      for each individual in excess of 4,

    the plan may not provide for payments over a period that is longer
    than 5 years.
      (2) If the current monthly income of the debtor and the debtor's
    spouse combined, when multiplied by 12, is less than - 
        (A) in the case of a debtor in a household of 1 person, the
      median family income of the applicable State for 1 earner;
        (B) in the case of a debtor in a household of 2, 3, or 4
      individuals, the highest median family income of the applicable
      State for a family of the same number or fewer individuals; or
        (C) in the case of a debtor in a household exceeding 4
      individuals, the highest median family income of the applicable
      State for a family of 4 or fewer individuals, plus $525 per month
      for each individual in excess of 4,

    the plan may not provide for payments over a period that is longer
    than 3 years, unless the court, for cause, approves a longer
    period, but the court may not approve a period that is longer than
    5 years.
      (e) Notwithstanding subsection (b)(2) of this section and
    sections 506(b) and 1325(a)(5) of this title, if it is proposed in
    a plan to cure a default, the amount necessary to cure the default,
    shall be determined in accordance with the underlying agreement and
    applicable nonbankruptcy law.
      (f) A plan may not materially alter the terms of a loan described
    in section 362(b)(19) and any amounts required to repay such loan
    shall not constitute "disposable income" under section 1325.

-SOURCE-
    (Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2648; Pub. L. 98-353, title
    III, Secs. 316, 528, July 10, 1984, 98 Stat. 356, 389; Pub. L. 103-
    394, title III, Secs. 301, 305(c), Oct. 22, 1994, 108 Stat. 4131,
    4134; Pub. L. 109-8, title II, Secs. 213(8), (9), 224(d), title
    III, Sec. 318(1), Apr. 20, 2005, 119 Stat. 53, 65, 93.)


-MISC1-
                       HISTORICAL AND REVISION NOTES                   

                          LEGISLATIVE STATEMENTS                      
      Section 1322(b)(2) of the House amendment represents a compromise
    agreement between similar provisions in the House bill and Senate
    amendment. Under the House amendment, the plan may modify the
    rights of holders of secured claims other than a claim secured by a
    security interest in real property that is the debtor's principal
    residence. It is intended that a claim secured by the debtor's
    principal residence may be treated with under section 1322(b)(5) of
    the House amendment.
      Section 1322(c) adopts a 5-year period derived from the House
    bill in preference to a 4-year period contained in the Senate
    amendment. A conforming change is made in section 1329(c) adopting
    the provision in the House bill in preference to a comparable
    provision in the Senate amendment.
      Tax payments in wage earner plans: The House bill provided that a
    wage earner plan had to provide that all priority claims would be
    paid in full. The Senate amendment contained a special rule in
    section 1325(c) requiring that Federal tax claims must be paid in
    cash, but that such tax claims can be paid in deferred cash
    installments under the general rules applicable to the payment of
    debts in a wage earner plan, unless the Internal Revenue Service
    negotiates with the debtor for some different medium or time for
    payment of the tax liability.
      The House bill adopts the substance of the Senate amendment rule
    under section 1322(a)(2) of the House amendment. A wage earner plan
    must provide for full payment in deferred cash payments, of all
    priority claims, unless the holder of a particular claim agrees
    with a different treatment of such claim.

                         SENATE REPORT NO. 95-989                     
      Chapter 13 is designed to serve as a flexible vehicle for the
    repayment of part or all of the allowed claims of the debtor.
    Section 1322 emphasizes that purpose by fixing a minimum of
    mandatory plan provisions.
      Subsection (a) requires that the plan submit whatever portion of
    the future income of the debtor is necessary to implement the plan
    to the control of the trustee, mandates payment in full of all
    section 507 priority claims, and requires identical treatment for
    all claims of a particular class.
      Subsection (b) permits a chapter 13 plan to (1) divide unsecured
    claims not entitled to priority under section 507 into classes in
    the manner authorized for chapter 11 claims; (2) modify the rights
    of holders of secured and unsecured claims, except claims wholly
    secured by real estate mortgages; (3) cure or waive any default;
    (4) propose payments on unsecured claims concurrently with payments
    on any secured claim or any other class of unsecured claims; (5)
    provide for curing any default on any secured or unsecured claim on
    which the final payment is due after the proposed final payment
    under the plan; (6) provide for payment of any allowed postpetition
    claim; (7) assume or reject any previously unrejected executory
    contract or unexpired lease of the debtor; (8) propose the payment
    of all or any part of any claim from property of the estate or of
    the debtor; (9) provide for the vesting of property of the estate;
    and (10) include any other provision not inconsistent with other
    provisions of title 11.
      Subsection (c) limits the payment period under the plan to 3
    years, except that a 4-year payment period may be permitted by the
    court.

                                AMENDMENTS                            
      2005 - Subsec. (a)(4). Pub. L. 109-8, Sec. 213(8), added par.
    (4).
      Subsec. (b)(10), (11). Pub. L. 109-8, Sec. 213(9), added par.
    (10) and redesignated former par. (10) as (11).
      Subsec. (d). Pub. L. 109-8, Sec. 318(1), amended subsec. (d)
    generally. Prior to amendment, subsec. (d) read as follows: "The
    plan may not provide for payments over a period that is longer than
    three years, unless the court, for cause, approves a longer period,
    but the court may not approve a period that is longer than five
    years."
      Subsec. (f). Pub. L. 109-8, Sec. 224(d), added subsec. (f).
      1994 - Subsecs. (c), (d). Pub. L. 103-394, Sec. 301, added
    subsec. (c) and redesignated former subsec. (c) as (d).
      Subsec. (e). Pub. L. 103-394, Sec. 305(c), added subsec. (e).
      1984 - Subsec. (a)(2). Pub. L. 98-353, Sec. 528(a), inserted a
    comma after "payments".
      Subsec. (b)(1). Pub. L. 98-353, Sec. 316, inserted "; however,
    such plan may treat claims for a consumer debt of the debtor if an
    individual is liable on such consumer debt with the debtor
    differently than other unsecured claims".
      Subsec. (b)(2). Pub. L. 98-353, Sec. 528(b)(1), inserted ", or
    leave unaffected the rights of the holders of any class of claims".
      Subsec. (b)(4). Pub. L. 98-353, Sec. 528(b)(2), inserted "other"
    after "claim or any".
      Subsec. (b)(7). Pub. L. 98-353, Sec. 528(b)(3), inserted "subject
    to section 365 of this title," before "provide", substituted ",
    rejection, or assignment" for "or rejection", and substituted
    "under such section" for "under section 365 of this title".
      Subsec. (b)(8). Pub. L. 98-353, Sec. 528(b)(4), struck out "any"
    before "part of a claim".

                     EFFECTIVE DATE OF 2005 AMENDMENT                 
      Amendment by Pub. L. 109-8 effective 180 days after Apr. 20,
    2005, and not applicable with respect to cases commenced under this
    title before such effective date, except as otherwise provided, see
    section 1501 of Pub. L. 109-8, set out as a note under section 101
    of this title.

                     EFFECTIVE DATE OF 1994 AMENDMENT                 
      Amendment by section 301 of Pub. L. 103-394 effective Oct. 22,
    1994, and not applicable with respect to cases commenced under this
    title before Oct. 22, 1994, and amendment by section 305(c) of Pub.
    L. 103-394 effective Oct. 22, 1994, and applicable only to
    agreements entered into after Oct. 22, 1994, see section 702 of
    Pub. L. 103-394, set out as a note under section 101 of this title.

                     EFFECTIVE DATE OF 1984 AMENDMENT                 
      Amendment by Pub. L. 98-353 effective with respect to cases filed
    90 days after July 10, 1984, see section 552(a) of Pub. L. 98-353,
    set out as a note under section 101 of this title.

                       ADJUSTMENT OF DOLLAR AMOUNTS                   
      For adjustment of dollar amounts specified in subsec. (d) of this
    section by the Judicial Conference of the United States, see note
    set out under section 104 of this title.

-End-



-CITE-
    11 USC Sec. 1323                                            01/03/2007

-EXPCITE-
    TITLE 11 - BANKRUPTCY
    CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                  INCOME                          
    SUBCHAPTER II - THE PLAN

-HEAD-
    Sec. 1323. Modification of plan before confirmation

-STATUTE-
      (a) The debtor may modify the plan at any time before
    confirmation, but may not modify the plan so that the plan as
    modified fails to meet the requirements of section 1322 of this
    title.
      (b) After the debtor files a modification under this section, the
    plan as modified becomes the plan.
      (c) Any holder of a secured claim that has accepted or rejected
    the plan is deemed to have accepted or rejected, as the case may
    be, the plan as modified, unless the modification provides for a
    change in the rights of such holder from what such rights were
    under the plan before modification, and such holder changes such
    holder's previous acceptance or rejection.

-SOURCE-
    (Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2649.)


-MISC1-
                       HISTORICAL AND REVISION NOTES                   

                         SENATE REPORT NO. 95-989                     
      The debtor is permitted to modify the plan before confirmation
    without court approval so long as the modified plan, which becomes
    the plan on filing, complies with the requirements of section 1322.
      The original acceptance or rejection of a plan by the holder of a
    secured claim remains binding unless the modified plan changes the
    rights of the holder and the holder withdraws or alters its earlier
    acceptance or rejection.

-End-



-CITE-
    11 USC Sec. 1324                                            01/03/2007

-EXPCITE-
    TITLE 11 - BANKRUPTCY
    CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                  INCOME                          
    SUBCHAPTER II - THE PLAN

-HEAD-
    Sec. 1324. Confirmation hearing

-STATUTE-
      (a) Except as provided in subsection (b) and after notice, the
    court shall hold a hearing on confirmation of the plan. A party in
    interest may object to confirmation of the plan.
      (b) The hearing on confirmation of the plan may be held not
    earlier than 20 days and not later than 45 days after the date of
    the meeting of creditors under section 341(a), unless the court
    determines that it would be in the best interests of the creditors
    and the estate to hold such hearing at an earlier date and there is
    no objection to such earlier date.

-SOURCE-
    (Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2649; Pub. L. 98-353, title
    III, Sec. 529, July 10, 1984, 98 Stat. 389; Pub. L. 99-554, title
    II, Sec. 283(x), Oct. 27, 1986, 100 Stat. 3118; Pub. L. 109-8,
    title III, Sec. 317, Apr. 20, 2005, 119 Stat. 92.)


-MISC1-
                       HISTORICAL AND REVISION NOTES                   

                         SENATE REPORT NO. 95-989                     
      Any party in interest may object to the confirmation of a plan,
    as distinguished from merely rejecting a plan. An objection to
    confirmation is predicated on failure of the plan or the procedures
    employed prior to confirmation to conform with the requirements of
    chapter 13. The bankruptcy judge is required to provide notice and
    an opportunity for hearing any such objection to confirmation.

                                AMENDMENTS                            
      2005 - Pub. L. 109-8 designated existing provisions as subsec.
    (a), substituted "Except as provided in subsection (b) and after"
    for "After", and added subsec. (b).
      1986 - Pub. L. 99-554 struck out "the" after "object to".
      1984 - Pub. L. 98-353 struck out "the" before "confirmation of
    the plan".

                     EFFECTIVE DATE OF 2005 AMENDMENT                 
      Amendment by Pub. L. 109-8 effective 180 days after Apr. 20,
    2005, and not applicable with respect to cases commenced under this
    title before such effective date, except as otherwise provided, see
    section 1501 of Pub. L. 109-8, set out as a note under section 101
    of this title.

                     EFFECTIVE DATE OF 1986 AMENDMENT                 
      Amendment by Pub. L. 99-554 effective 30 days after Oct. 27,
    1986, see section 302(a) of Pub. L. 99-554, set out as a note under
    section 581 of Title 28, Judiciary and Judicial Procedure.

                     EFFECTIVE DATE OF 1984 AMENDMENT                 
      Amendment by Pub. L. 98-353 effective with respect to cases filed
    90 days after July 10, 1984, see section 552(a) of Pub. L. 98-353,
    set out as a note under section 101 of this title.

-End-



-CITE-
    11 USC Sec. 1325                                            01/03/2007

-EXPCITE-
    TITLE 11 - BANKRUPTCY
    CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                  INCOME                          
    SUBCHAPTER II - THE PLAN

-HEAD-
    Sec. 1325. Confirmation of plan

-STATUTE-
      (a) Except as provided in subsection (b), the court shall confirm
    a plan if - 
        (1) The plan complies with the provisions of this chapter and
      with the other applicable provisions of this title;
        (2) any fee, charge, or amount required under chapter 123 of
      title 28, or by the plan, to be paid before confirmation, has
      been paid;
        (3) the plan has been proposed in good faith and not by any
      means forbidden by law;
        (4) the value, as of the effective date of the plan, of
      property to be distributed under the plan on account of each
      allowed unsecured claim is not less than the amount that would be
      paid on such claim if the estate of the debtor were liquidated
      under chapter 7 of this title on such date;
        (5) with respect to each allowed secured claim provided for by
      the plan - 
          (A) the holder of such claim has accepted the plan;
          (B)(i) the plan provides that - 
            (I) the holder of such claim retain the lien securing such
          claim until the earlier of - 
              (aa) the payment of the underlying debt determined under
            nonbankruptcy law; or
              (bb) discharge under section 1328; and

            (II) if the case under this chapter is dismissed or
          converted without completion of the plan, such lien shall
          also be retained by such holder to the extent recognized by
          applicable nonbankruptcy law;

          (ii) the value, as of the effective date of the plan, of
        property to be distributed under the plan on account of such
        claim is not less than the allowed amount of such claim; and
          (iii) if - 
            (I) property to be distributed pursuant to this subsection
          is in the form of periodic payments, such payments shall be
          in equal monthly amounts; and
            (II) the holder of the claim is secured by personal
          property, the amount of such payments shall not be less than
          an amount sufficient to provide to the holder of such claim
          adequate protection during the period of the plan; or

          (C) the debtor surrenders the property securing such claim to
        such holder;

        (6) the debtor will be able to make all payments under the plan
      and to comply with the plan;
        (7) the action of the debtor in filing the petition was in good
      faith;
        (8) the debtor has paid all amounts that are required to be
      paid under a domestic support obligation and that first become
      payable after the date of the filing of the petition if the
      debtor is required by a judicial or administrative order, or by
      statute, to pay such domestic support obligation; and
        (9) the debtor has filed all applicable Federal, State, and
      local tax returns as required by section 1308.

    For purposes of paragraph (5), section 506 shall not apply to a
    claim described in that paragraph if the creditor has a purchase
    money security interest securing the debt that is the subject of
    the claim, the debt was incurred within the 910-day preceding the
    date of the filing of the petition, and the collateral for that
    debt consists of a motor vehicle (as defined in section 30102 of
    title 49) acquired for the personal use of the debtor, or if
    collateral for that debt consists of any other thing of value, if
    the debt was incurred during the 1-year period preceding that
    filing.
      (b)(1) If the trustee or the holder of an allowed unsecured claim
    objects to the confirmation of the plan, then the court may not
    approve the plan unless, as of the effective date of the plan - 
        (A) the value of the property to be distributed under the plan
      on account of such claim is not less than the amount of such
      claim; or
        (B) the plan provides that all of the debtor's projected
      disposable income to be received in the applicable commitment
      period beginning on the date that the first payment is due under
      the plan will be applied to make payments to unsecured creditors
      under the plan.

      (2) For purposes of this subsection, the term "disposable income"
    means current monthly income received by the debtor (other than
    child support payments, foster care payments, or disability
    payments for a dependent child made in accordance with applicable
    nonbankruptcy law to the extent reasonably necessary to be expended
    for such child) less amounts reasonably necessary to be expended - 
        (A)(i) for the maintenance or support of the debtor or a
      dependent of the debtor, or for a domestic support obligation,
      that first becomes payable after the date the petition is filed;
      and
        (ii) for charitable contributions (that meet the definition of
      "charitable contribution" under section 548(d)(3) (!1) to a
      qualified religious or charitable entity or organization (as
      defined in section 548(d)(4)) in an amount not to exceed 15
      percent of gross income of the debtor for the year in which the
      contributions are made; and

        (B) if the debtor is engaged in business, for the payment of
      expenditures necessary for the continuation, preservation, and
      operation of such business.

      (3) Amounts reasonably necessary to be expended under paragraph
    (2), other than subparagraph (A)(ii) of paragraph (2), shall be
    determined in accordance with subparagraphs (A) and (B) of section
    707(b)(2), if the debtor has current monthly income, when
    multiplied by 12, greater than - 
        (A) in the case of a debtor in a household of 1 person, the
      median family income of the applicable State for 1 earner;
        (B) in the case of a debtor in a household of 2, 3, or 4
      individuals, the highest median family income of the applicable
      State for a family of the same number or fewer individuals; or
        (C) in the case of a debtor in a household exceeding 4
      individuals, the highest median family income of the applicable
      State for a family of 4 or fewer individuals, plus $525 per month
      for each individual in excess of 4.

      (4) For purposes of this subsection, the "applicable commitment
    period" - 
        (A) subject to subparagraph (B), shall be - 
          (i) 3 years; or
          (ii) not less than 5 years, if the current monthly income of
        the debtor and the debtor's spouse combined, when multiplied by
        12, is not less than - 
            (I) in the case of a debtor in a household of 1 person, the
          median family income of the applicable State for 1 earner;
            (II) in the case of a debtor in a household of 2, 3, or 4
          individuals, the highest median family income of the
          applicable State for a family of the same number or fewer
          individuals; or
            (III) in the case of a debtor in a household exceeding 4
          individuals, the highest median family income of the
          applicable State for a family of 4 or fewer individuals, plus
          $525 per month for each individual in excess of 4; and

        (B) may be less than 3 or 5 years, whichever is applicable
      under subparagraph (A), but only if the plan provides for payment
      in full of all allowed unsecured claims over a shorter period.

      (c) After confirmation of a plan, the court may order any entity
    from whom the debtor receives income to pay all or any part of such
    income to the trustee.

-SOURCE-
    (Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2649; Pub. L. 98-353, title
    III, Secs. 317, 530, July 10, 1984, 98 Stat. 356, 389; Pub. L. 99-
    554, title II, Sec. 283(y), Oct. 27, 1986, 100 Stat. 3118; Pub. L.
    105-183, Sec. 4(a), June 19, 1998, 112 Stat. 518; Pub. L. 109-8,
    title I, Sec. 102(g), (h), title II, Sec. 213(10), title III, Secs.
    306(a), (b), 309(c)(1), 318(2), (3), title VII, Sec. 716(a), Apr.
    20, 2005, 119 Stat. 33, 53, 80, 83, 93, 129; Pub. L. 109-439, Sec.
    2, Dec. 20, 2006, 120 Stat. 3285.)


-MISC1-
                       HISTORICAL AND REVISION NOTES                   

                          LEGISLATIVE STATEMENTS                      
      Section 1325(a)(5)(B) of the House amendment modifies the House
    bill and Senate amendment to significantly protect secured
    creditors in chapter 13. Unless the secured creditor accepts the
    plan, the plan must provide that the secured creditor retain the
    lien securing the creditor's allowed secured claim in addition to
    receiving value, as of the effective date of the plan of property
    to be distributed under the plan on account of the claim not less
    than the allowed amount of the claim. To this extent, a secured
    creditor in a case under chapter 13 is treated identically with a
    recourse creditor under section 1111(b)(1) of the House amendment
    except that the secured creditor in a case under chapter 13 may
    receive any property of a value as of the effective date of the
    plan equal to the allowed amount of the creditor's secured claim
    rather than being restricted to receiving deferred cash payments.
    Of course, the secured creditors' lien only secures the value of
    the collateral and to the extent property is distributed of a
    present value equal to the allowed amount of the creditor's secured
    claim the creditor's lien will have been satisfied in full. Thus
    the lien created under section 1325(a)(5)(B)(i) is effective only
    to secure deferred payments to the extent of the amount of the
    allowed secured claim. To the extent the deferred payments exceed
    the value of the allowed amount of the secured claim and the debtor
    subsequently defaults, the lien will not secure unaccrued interest
    represented in such deferred payments.

                         SENATE REPORT NO. 95-989                     
      The bankruptcy court must confirm a plan if (1) the plan
    satisfies the provisions of chapter 13 and other applicable
    provisions of title 11; (2) it is proposed in good faith; (3) it is
    in the best interests of creditors, and defined by subsection
    (a)(4) of Section 1325; (4) it has been accepted by the holder of
    each allowed secured claim provided for the plan or where the
    holder of any such secured claim is to receive value under the plan
    not less than the amount of the allowed secured claim, or where the
    debtor surrenders to the holder the collateral securing any such
    allowed secured claim; (5) the plan is feasible; and (6) the
    requisite fees and charges have been paid.
      Subsection (b) authorizes the court to order an entity, as
    defined by Section 101(15), to pay any income of the debtor to the
    trustee. Any governmental unit is an entity subject to such an
    order.

                                AMENDMENTS                            
      2006 - Subsec. (b)(3). Pub. L. 109-439 inserted ", other than
    subparagraph (A)(ii) of paragraph (2)," after "under paragraph (2)"
    in introductory provisions.
      2005 - Subsec. (a). Pub. L. 109-8, Sec. 306(b), inserted
    concluding provisions at end "For purposes of paragraph (5),
    section 506 shall not apply to a claim described in that paragraph
    if the creditor has a purchase money security interest securing the
    debt that is the subject of the claim, the debt was incurred within
    the 910-day preceding the date of the filing of the petition, and
    the collateral for that debt consists of a motor vehicle (as
    defined in section 30102 of title 49) acquired for the personal use
    of the debtor, or if collateral for that debt consists of any other
    thing of value, if the debt was incurred during the 1-year period
    preceding that filing."
      Subsec. (a)(5)(B)(i). Pub. L. 109-8, Sec. 306(a), amended cl. (i)
    generally. Prior to amendment, cl. (i) read as follows: "the plan
    provides that the holder of such claim retain the lien securing
    such claim; and".
      Subsec. (a)(5)(B)(iii). Pub. L. 109-8, Sec. 309(c)(1), added cl.
    (iii).
      Subsec. (a)(7). Pub. L. 109-8, Sec. 102(g), added par. (7).
      Subsec. (a)(8). Pub. L. 109-8, Sec. 213(10), added par. (8).
      Subsec. (a)(9). Pub. L. 109-8, Sec. 716(a), added par. (9).
      Subsec. (b)(1)(B). Pub. L. 109-8, Sec. 318(2), substituted
    "applicable commitment period" for "three-year period".
      Pub. L. 109-8, Sec. 102(h)(1), inserted "to unsecured creditors"
    after "to make payments".
      Subsec. (b)(2), (3). Pub. L. 109-8, Sec. 102(h)(2), added pars.
    (2) and (3) and struck out former par. (2) which read as follows:
    "For purposes of this subsection, 'disposable income' means income
    which is received by the debtor and which is not reasonably
    necessary to be expended - 
        "(A) for the maintenance or support of the debtor or a
      dependent of the debtor, including charitable contributions (that
      meet the definition of 'charitable contribution' under section
      548(d)(3)) to a qualified religious or charitable entity or
      organization (as that term is defined in section 548(d)(4)) in an
      amount not to exceed 15 percent of the gross income of the debtor
      for the year in which the contributions are made; and
        "(B) if the debtor is engaged in business, for the payment of
      expenditures necessary for the continuation, preservation, and
      operation of such business."
      Subsec. (b)(4). Pub. L. 109-8, Sec. 318(3), added par. (4).
      1998 - Subsec. (b)(2)(A). Pub. L. 105-183 inserted before
    semicolon ", including charitable contributions (that meet the
    definition of 'charitable contribution' under section 548(d)(3)) to
    a qualified religious or charitable entity or organization (as that
    term is defined in section 548(d)(4)) in an amount not to exceed 15
    percent of the gross income of the debtor for the year in which the
    contributions are made".
      1986 - Subsec. (b)(2)(A). Pub. L. 99-554 substituted "; and" for
    "; or".
      1984 - Subsec. (a). Pub. L. 98-353, Sec. 317(1), substituted
    "Except as provided in subsection (b), the" for "The".
      Subsec. (a)(1). Pub. L. 98-353, Sec. 530, inserted "the" before
    "other".
      Subsecs. (b), (c). Pub. L. 98-353, Sec. 317(2), (3), added
    subsec. (b) and redesignated former subsec. (b) as (c).

                     EFFECTIVE DATE OF 2005 AMENDMENT                 
      Amendment by Pub. L. 109-8 effective 180 days after Apr. 20,
    2005, and not applicable with respect to cases commenced under this
    title before such effective date, except as otherwise provided, see
    section 1501 of Pub. L. 109-8, set out as a note under section 101
    of this title.

                     EFFECTIVE DATE OF 1998 AMENDMENT                 
      Amendment by Pub. L. 105-183 applicable to any case brought under
    an applicable provision of this title that is pending or commenced
    on or after June 19, 1998, see section 5 of Pub. L. 105-183, set
    out as a note under section 544 of this title.

                     EFFECTIVE DATE OF 1986 AMENDMENT                 
      Amendment by Pub. L. 99-554 effective 30 days after Oct. 27,
    1986, see section 302(a) of Pub. L. 99-554, set out as a note under
    section 581 of Title 28, Judiciary and Judicial Procedure.

                     EFFECTIVE DATE OF 1984 AMENDMENT                 
      Amendment by Pub. L. 98-353 effective with respect to cases filed
    90 days after July 10, 1984, see section 552(a) of Pub. L. 98-353,
    set out as a note under section 101 of this title.

                       ADJUSTMENT OF DOLLAR AMOUNTS                   
      For adjustment of dollar amounts specified in subsec. (b) of this
    section by the Judicial Conference of the United States, see note
    set out under section 104 of this title.

-FOOTNOTE-
    (!1) So in original. Probably should be followed by a second closing
         parenthesis.


-End-



-CITE-
    11 USC Sec. 1326                                            01/03/2007

-EXPCITE-
    TITLE 11 - BANKRUPTCY
    CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                  INCOME                          
    SUBCHAPTER II - THE PLAN

-HEAD-
    Sec. 1326. Payments

-STATUTE-
      (a)(1) Unless the court orders otherwise, the debtor shall
    commence making payments not later than 30 days after the date of
    the filing of the plan or the order for relief, whichever is
    earlier, in the amount - 
        (A) proposed by the plan to the trustee;
        (B) scheduled in a lease of personal property directly to the
      lessor for that portion of the obligation that becomes due after
      the order for relief, reducing the payments under subparagraph
      (A) by the amount so paid and providing the trustee with evidence
      of such payment, including the amount and date of payment; and
        (C) that provides adequate protection directly to a creditor
      holding an allowed claim secured by personal property to the
      extent the claim is attributable to the purchase of such property
      by the debtor for that portion of the obligation that becomes due
      after the order for relief, reducing the payments under
      subparagraph (A) by the amount so paid and providing the trustee
      with evidence of such payment, including the amount and date of
      payment.

      (2) A payment made under paragraph (1)(A) shall be retained by
    the trustee until confirmation or denial of confirmation. If a plan
    is confirmed, the trustee shall distribute any such payment in
    accordance with the plan as soon as is practicable. If a plan is
    not confirmed, the trustee shall return any such payments not
    previously paid and not yet due and owing to creditors pursuant to
    paragraph (3) to the debtor, after deducting any unpaid claim
    allowed under section 503(b).
      (3) Subject to section 363, the court may, upon notice and a
    hearing, modify, increase, or reduce the payments required under
    this subsection pending confirmation of a plan.
      (4) Not later than 60 days after the date of filing of a case
    under this chapter, a debtor retaining possession of personal
    property subject to a lease or securing a claim attributable in
    whole or in part to the purchase price of such property shall
    provide the lessor or secured creditor reasonable evidence of the
    maintenance of any required insurance coverage with respect to the
    use or ownership of such property and continue to do so for so long
    as the debtor retains possession of such property.
      (b) Before or at the time of each payment to creditors under the
    plan, there shall be paid - 
        (1) any unpaid claim of the kind specified in section 507(a)(2)
      of this title;
        (2) if a standing trustee appointed under section 586(b) of
      title 28 is serving in the case, the percentage fee fixed for
      such standing trustee under section 586(e)(1)(B) of title 28; and
        (3) if a chapter 7 trustee has been allowed compensation due to
      the conversion or dismissal of the debtor's prior case pursuant
      to section 707(b), and some portion of that compensation remains
      unpaid in a case converted to this chapter or in the case
      dismissed under section 707(b) and refiled under this chapter,
      the amount of any such unpaid compensation, which shall be paid
      monthly - 
          (A) by prorating such amount over the remaining duration of
        the plan; and
          (B) by monthly payments not to exceed the greater of - 
            (i) $25; or
            (ii) the amount payable to unsecured nonpriority creditors,
          as provided by the plan, multiplied by 5 percent, and the
          result divided by the number of months in the plan.

      (c) Except as otherwise provided in the plan or in the order
    confirming the plan, the trustee shall make payments to creditors
    under the plan.
      (d) Notwithstanding any other provision of this title - 
        (1) compensation referred to in subsection (b)(3) is payable
      and may be collected by the trustee under that paragraph, even if
      such amount has been discharged in a prior case under this title;
      and
        (2) such compensation is payable in a case under this chapter
      only to the extent permitted by subsection (b)(3).

-SOURCE-
    (Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2650; Pub. L. 98-353, title
    III, Secs. 318(a), 531, July 10, 1984, 98 Stat. 357, 389; Pub. L.
    99-554, title II, Secs. 230, 283(z), Oct. 27, 1986, 100 Stat. 3103,
    3118; Pub. L. 103-394, title III, Sec. 307, Oct. 22, 1994, 108
    Stat. 4135; Pub. L. 109-8, title III, Sec. 309(c)(2), title XII,
    Sec. 1224, title XV, Sec. 1502(a)(10), Apr. 20, 2005, 119 Stat. 83,
    199, 217.)


-MISC1-
                       HISTORICAL AND REVISION NOTES                   

                          LEGISLATIVE STATEMENTS                      
      Section 1326(a)(2) of the House amendment adopts a comparable
    provision contained in the House bill providing for standing
    trustees.

                         SENATE REPORT NO. 95-989                     
      Section 1326 supplements the priorities provisions of section
    507. Subsection (a) requires accrued costs of administration and
    filing fees, as well as fees due the chapter 13 trustee, to be
    disbursed before payments to creditors under the plan. Subsection
    (b) makes it clear that the chapter 13 trustee is normally to make
    distribution to creditors of the payments made under the plan by
    the debtor.

                          HOUSE REPORT NO. 95-595                      
      Subsection (a) requires that before or at the time of each
    payment any outstanding administrative expenses [and] any
    percentage fee due for a private standing chapter 13 trustee be
    paid in full.

                                AMENDMENTS                            
      2005 - Subsec. (a). Pub. L. 109-8, Sec. 309(c)(2), amended
    subsec. (a) generally. Prior to amendment subsec. (a) read as
    follows:
      "(a)(1) Unless the court orders otherwise, the debtor shall
    commence making the payments proposed by a plan within 30 days
    after the plan is filed.
      "(2) A payment made under this subsection shall be retained by
    the trustee until confirmation or denial of confirmation of a plan.
    If a plan is confirmed, the trustee shall distribute any such
    payment in accordance with the plan as soon as practicable. If a
    plan is not confirmed, the trustee shall return any such payment to
    the debtor, after deducting any unpaid claim allowed under section
    503(b) of this title."
      Subsec. (b)(1). Pub. L. 109-8, Sec. 1502(a)(10), substituted
    "507(a)(2)" for "507(a)(1)".
      Subsec. (b)(3). Pub. L. 109-8, Sec. 1224(1), added par. (3).
      Subsec. (d). Pub. L. 109-8, Sec. 1224(2), added subsec. (d).
      1994 - Subsec. (a)(2). Pub. L. 103-394 inserted "as soon as
    practicable" before period at end of second sentence.
      1986 - Subsec. (a)(2). Pub. L. 99-554, Sec. 283(z), substituted
    "payment" for "payments" in last sentence.
      Subsec. (b). Pub. L. 99-554, Sec. 230, amended subsec. (b)
    generally, substituting "586(b) of title 28" for "1302(d) of this
    title" and "586(e)(1)(B) of title 28" for "1302(e) of this title"
    in par. (2).
      1984 - Subsec. (a). Pub. L. 98-353, Sec. 318(a)(2), added subsec.
    (a). Former subsec. (a) redesignated (b).
      Subsec. (b). Pub. L. 98-353, Sec. 318(a)(1), redesignated subsec.
    (a) as (b). Former subsec. (b) redesignated (c).
      Subsec. (b)(2). Pub. L. 98-353, Sec. 531, inserted "of this
    title" after "1302(d)".
      Subsec. (c). Pub. L. 98-353, Sec. 318(a)(1), redesignated former
    subsec. (b) as (c).

                     EFFECTIVE DATE OF 2005 AMENDMENT                 
      Amendment by Pub. L. 109-8 effective 180 days after Apr. 20,
    2005, and not applicable with respect to cases commenced under this
    title before such effective date, except as otherwise provided, see
    section 1501 of Pub. L. 109-8, set out as a note under section 101
    of this title.

                     EFFECTIVE DATE OF 1994 AMENDMENT                 
      Amendment by Pub. L. 103-394 effective Oct. 22, 1994, and not
    applicable with respect to cases commenced under this title before
    Oct. 22, 1994, see section 702 of Pub. L. 103-394, set out as a
    note under section 101 of this title.

                     EFFECTIVE DATE OF 1986 AMENDMENT                 
      Effective date and applicability of amendment by section 230 of
    Pub. L. 99-554 dependent upon the judicial district involved, see
    section 302(d), (e) of Pub. L. 99-554, set out as a note under
    section 581 of Title 28, Judiciary and Judicial Procedure.
      Amendment by section 283 of Pub. L. 99-554 effective 30 days
    after Oct. 27, 1986, see section 302(a) of Pub. L. 99-554.

                     EFFECTIVE DATE OF 1984 AMENDMENT                 
      Amendment by Pub. L. 98-353 effective with respect to cases filed
    90 days after July 10, 1984, see section 552(a) of Pub. L. 98-353,
    set out as a note under section 101 of this title.

                       ADJUSTMENT OF DOLLAR AMOUNTS                   
      For adjustment of dollar amounts specified in subsec. (b)(3) of
    this section by the Judicial Conference of the United States, see
    note set out under section 104 of this title.

-End-



-CITE-
    11 USC Sec. 1327                                            01/03/2007

-EXPCITE-
    TITLE 11 - BANKRUPTCY
    CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                  INCOME                          
    SUBCHAPTER II - THE PLAN

-HEAD-
    Sec. 1327. Effect of confirmation

-STATUTE-
      (a) The provisions of a confirmed plan bind the debtor and each
    creditor, whether or not the claim of such creditor is provided for
    by the plan, and whether or not such creditor has objected to, has
    accepted, or has rejected the plan.
      (b) Except as otherwise provided in the plan or the order
    confirming the plan, the confirmation of a plan vests all of the
    property of the estate in the debtor.
      (c) Except as otherwise provided in the plan or in the order
    confirming the plan, the property vesting in the debtor under
    subsection (b) of this section is free and clear of any claim or
    interest of any creditor provided for by the plan.

-SOURCE-
    (Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2650.)


-MISC1-
                       HISTORICAL AND REVISION NOTES                   

                         SENATE REPORT NO. 95-989                     
      Subsection (a) binds the debtor and each creditor to the
    provisions of a confirmed plan, whether or not the claim of the
    creditor is provided for by the plan and whether or not the
    creditor has accepted, rejected, or objected to the plan. Unless
    the plan itself or the order confirming the plan otherwise
    provides, confirmation is deemed to vest all property of the estate
    in the debtor, free and clear of any claim or interest of any
    creditor provided for by the plan.

-End-



-CITE-
    11 USC Sec. 1328                                            01/03/2007

-EXPCITE-
    TITLE 11 - BANKRUPTCY
    CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                  INCOME                          
    SUBCHAPTER II - THE PLAN

-HEAD-
    Sec. 1328. Discharge

-STATUTE-
      (a) Subject to subsection (d), as soon as practicable after
    completion by the debtor of all payments under the plan, and in the
    case of a debtor who is required by a judicial or administrative
    order, or by statute, to pay a domestic support obligation, after
    such debtor certifies that all amounts payable under such order or
    such statute that are due on or before the date of the
    certification (including amounts due before the petition was filed,
    but only to the extent provided for by the plan) have been paid,
    unless the court approves a written waiver of discharge executed by
    the debtor after the order for relief under this chapter, the court
    shall grant the debtor a discharge of all debts provided for by the
    plan or disallowed under section 502 of this title, except any debt
    - 
        (1) provided for under section 1322(b)(5);
        (2) of the kind specified in section 507(a)(8)(C) or in
      paragraph (1)(B), (1)(C), (2), (3), (4), (5), (8), or (9) of
      section 523(a);
        (3) for restitution, or a criminal fine, included in a sentence
      on the debtor's conviction of a crime; or
        (4) for restitution, or damages, awarded in a civil action
      against the debtor as a result of willful or malicious injury by
      the debtor that caused personal injury to an individual or the
      death of an individual.

      (b) Subject to subsection (d), at any time after the confirmation
    of the plan and after notice and a hearing, the court may grant a
    discharge to a debtor that has not completed payments under the
    plan only if - 
        (1) the debtor's failure to complete such payments is due to
      circumstances for which the debtor should not justly be held
      accountable;
        (2) the value, as of the effective date of the plan, of
      property actually distributed under the plan on account of each
      allowed unsecured claim is not less than the amount that would
      have been paid on such claim if the estate of the debtor had been
      liquidated under chapter 7 of this title on such date; and
        (3) modification of the plan under section 1329 of this title
      is not practicable.

      (c) A discharge granted under subsection (b) of this section
    discharges the debtor from all unsecured debts provided for by the
    plan or disallowed under section 502 of this title, except any debt
    - 
        (1) provided for under section 1322(b)(5) of this title; or
        (2) of a kind specified in section 523(a) of this title.

      (d) Notwithstanding any other provision of this section, a
    discharge granted under this section does not discharge the debtor
    from any debt based on an allowed claim filed under section
    1305(a)(2) of this title if prior approval by the trustee of the
    debtor's incurring such debt was practicable and was not obtained.
      (e) On request of a party in interest before one year after a
    discharge under this section is granted, and after notice and a
    hearing, the court may revoke such discharge only if - 
        (1) such discharge was obtained by the debtor through fraud;
      and
        (2) the requesting party did not know of such fraud until after
      such discharge was granted.

      (f) Notwithstanding subsections (a) and (b), the court shall not
    grant a discharge of all debts provided for in the plan or
    disallowed under section 502, if the debtor has received a
    discharge - 
        (1) in a case filed under chapter 7, 11, or 12 of this title
      during the 4-year period preceding the date of the order for
      relief under this chapter, or
        (2) in a case filed under chapter 13 of this title during the 2-
      year period preceding the date of such order.

      (g)(1) The court shall not grant a discharge under this section
    to a debtor unless after filing a petition the debtor has completed
    an instructional course concerning personal financial management
    described in section 111.
      (2) Paragraph (1) shall not apply with respect to a debtor who is
    a person described in section 109(h)(4) or who resides in a
    district for which the United States trustee (or the bankruptcy
    administrator, if any) determines that the approved instructional
    courses are not adequate to service the additional individuals who
    would otherwise be required to complete such instructional course
    by reason of the requirements of paragraph (1).
      (3) The United States trustee (or the bankruptcy administrator,
    if any) who makes a determination described in paragraph (2) shall
    review such determination not later than 1 year after the date of
    such determination, and not less frequently than annually
    thereafter.
      (h) The court may not grant a discharge under this chapter unless
    the court after notice and a hearing held not more than 10 days
    before the date of the entry of the order granting the discharge
    finds that there is no reasonable cause to believe that - 
        (1) section 522(q)(1) may be applicable to the debtor; and
        (2) there is pending any proceeding in which the debtor may be
      found guilty of a felony of the kind described in section
      522(q)(1)(A) or liable for a debt of the kind described in
      section 522(q)(1)(B).

-SOURCE-
    (Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2650; Pub. L. 98-353, title
    III, Sec. 532, July 10, 1984, 98 Stat. 389; Pub. L. 101-508, title
    III, Sec. 3007(b)(1), Nov. 5, 1990, 104 Stat. 1388-28; Pub. L. 101-
    581, Secs. 2(b), 3, Nov. 15, 1990, 104 Stat. 2865; Pub. L. 101-
    647, title XXXI, Secs. 3102(b), 3103, Nov. 29, 1990, 104 Stat.
    4916; Pub. L. 103-394, title III, Sec. 302, title V, Sec.
    501(d)(38), Oct. 22, 1994, 108 Stat. 4132, 4147; Pub. L. 109-8,
    title I, Sec. 106(c), title II, Sec. 213(11), title III, Secs.
    312(2), 314(b), 330(d), title VII, Sec. 707, Apr. 20, 2005, 119
    Stat. 38, 53, 87, 88, 102, 126.)


-MISC1-
                       HISTORICAL AND REVISION NOTES                   

                          LEGISLATIVE STATEMENTS                      
      Section 1328(a) adopts a provision contained in the Senate
    amendment permitting the court to approve a waiver of discharge by
    the debtor. It is anticipated that such a waiver must be in writing
    executed after the order for relief in a case under chapter 13.

                         SENATE REPORT NO. 95-989                     
      The court is to enter a discharge, unless waived, as soon as
    practicable after completion of payments under the plan. The debtor
    is to be discharged of all debts provided for by the plan or
    disallowed under section 502, except a debt provided for under the
    plan the last payment on which was not due until after the
    completion of the plan, or a debt incurred for willful and
    malicious conversion of or injury to the property or person of
    another.
      Subsection (b) is the successor to Bankruptcy Act Section 661
    [section 1061 of former title 11]. This subsection permits the
    bankruptcy judge to grant the debtor a discharge at any time after
    confirmation of a plan, if the court determines, after notice and
    hearing, that the failure to complete payments under the plan is
    due to circumstances for which the debtor should not justly be held
    accountable, the distributions made to each creditor under the plan
    equal in value the amount that would have been paid to the creditor
    had the estate been liquidated under chapter 7 of title 11 at the
    date of the hearing under this subsection, and that modification of
    the plan is impracticable. The discharge granted under subsection
    (b) relieves the debtor from all unsecured debts provided for by
    the plan or disallowed under section 502, except nondischargeable
    debts described in section 523(a) of title 11 or debts of the type
    covered by section 1322(b)(5).
      Subsection (d) excepts from any chapter 13 discharge a debt based
    on an allowed section 1305(a)(2) postpetition claim, if prior
    trustee approval of the incurring of the debt was practicable but
    was not obtained.
      A chapter 13 discharge obtained through fraud and before the
    moving party gained knowledge of the fraud may be revoked by the
    court under subsection (e), after notice and hearing, at the
    request of any party in interest made within 1 year after the
    discharge was granted.

                                AMENDMENTS                            
      2005 - Subsec. (a). Pub. L. 109-8, Sec. 330(d)(1), substituted
    "Subject to subsection (d), as" for "As" in introductory
    provisions.
      Pub. L. 109-8, Sec. 314(b), added pars. (1) to (4) and struck out
    former pars. (1) to (3) which read as follows:
      "(1) provided for under section 1322(b)(5) of this title;
      "(2) of the kind specified in paragraph (5), (8), or (9) of
    section 523(a) of this title; or
      "(3) for restitution, or a criminal fine, included in a sentence
    on the debtor's conviction of a crime."
      Pub. L. 109-8, Sec. 213(11), inserted ", and in the case of a
    debtor who is required by a judicial or administrative order, or by
    statute, to pay a domestic support obligation, after such debtor
    certifies that all amounts payable under such order or such statute
    that are due on or before the date of the certification (including
    amounts due before the petition was filed, but only to the extent
    provided for by the plan) have been paid" after "completion by the
    debtor of all payments under the plan" in introductory provisions.
      Subsec. (a)(2). Pub. L. 109-8, Sec. 707, substituted "section
    507(a)(8)(C) or in paragraph (1)(B), (1)(C)," for "paragraph".
      Subsec. (b). Pub. L. 109-8, Sec. 330(d)(2), substituted "Subject
    to subsection (d), at" for "At" in introductory provisions.
      Subsec. (f). Pub. L. 109-8, Sec. 312(2), added subsec. (f).
      Subsec. (g). Pub. L. 109-8, Sec. 106(c), added subsec. (g).
      Subsec. (h). Pub. L. 109-8, Sec. 330(d)(3), added subsec. (h).
      1994 - Subsec. (a)(2). Pub. L. 103-394, Sec. 501(d)(38)(A),
    substituted "(5), (8), or (9)" for "(5) or (8)".
      Subsec. (a)(3). Pub. L. 103-394, Sec. 501(d)(38)(B), struck out
    last par. (3). See 1990 Amendment note below.
      Pub. L. 103-394, Sec. 302, inserted ", or a criminal fine," after
    "restitution".
      1990 - Subsec. (a)(1). Pub. L. 101-581, Sec. 3(1), and Pub. L.
    101-647, Sec. 3103(1), made identical amendments striking "or" at
    end.
      Subsec. (a)(2). Pub. L. 101-581, Sec. 3(2), and Pub. L. 101-647,
    Sec. 3103(2), made identical amendments substituting "; or" for
    period at end.
      Pub. L. 101-581, Sec. 2(b), and Pub. L. 101-647, Sec. 3102(b),
    which directed identical insertions of "or 523(a)(9)" after
    "523(a)(5)", could not be executed because of prior amendment by
    Pub. L. 101-508. See below.
      Pub. L. 101-508 substituted "paragraph (5) or (8) of section
    523(a)" for "section 523(a)(5)".
      Subsec. (a)(3). Pub. L. 101-581, Sec. 3(3), and Pub. L. 101-647,
    Sec. 3103(3), made identical amendments adding par. (3).
      1984 - Subsec. (e)(1). Pub. L. 98-353, Sec. 532(1), inserted "by
    the debtor" after "obtained".
      Subsec. (e)(2). Pub. L. 98-353, Sec. 532(2), substituted "the
    requesting party did not know of such fraud until" for "knowledge
    of such fraud came to the requesting party".

                     EFFECTIVE DATE OF 2005 AMENDMENT                 
      Amendments by Pub. L. 109-8 effective 180 days after Apr. 20,
    2005, with amendments by sections 106(c), 213(11), 312(2), 314(b),
    and 707 of Pub. L. 109-8 not applicable with respect to cases
    commenced under this title before such effective date, except as
    otherwise provided, and amendment by section 330(d) of Pub. L. 109-
    8 applicable with respect to cases commenced under this title on
    or after Apr. 20, 2005, see section 1501 of Pub. L. 109-8, set out
    as a note under section 101 of this title.

                     EFFECTIVE DATE OF 1994 AMENDMENT                 
      Amendment by Pub. L. 103-394 effective Oct. 22, 1994, and not
    applicable with respect to cases commenced under this title before
    Oct. 22, 1994, see section 702 of Pub. L. 103-394, set out as a
    note under section 101 of this title.

                     EFFECTIVE DATE OF 1990 AMENDMENTS                 
      Amendment by Pub. L. 101-647 effective Nov. 29, 1990, but not
    applicable with respect to cases commenced under this title before
    Nov. 29, 1990, see section 3104 of Pub. L. 101-647, set out as a
    note under section 523 of this title.
      Amendment by Pub. L. 101-581 effective Nov. 15, 1990, but not
    applicable with respect to cases commenced under this title before
    Nov. 15, 1990, see section 4 of Pub. L. 101-581, set out as a note
    under section 523 of this title.
      Section 3007(b)(2) of Pub. L. 101-508 provided that: "The
    amendment made by paragraph (1) [amending this section] shall not
    apply to any case under the provisions of title 11, United States
    Code, commenced before the date of the enactment of this Act [Nov.
    5, 1990]."

                     EFFECTIVE DATE OF 1984 AMENDMENT                 
      Amendment by Pub. L. 98-353 effective with respect to cases filed
    90 days after July 10, 1984, see section 552(a) of Pub. L. 98-353,
    set out as a note under section 101 of this title.

-End-



-CITE-
    11 USC Sec. 1329                                            01/03/2007

-EXPCITE-
    TITLE 11 - BANKRUPTCY
    CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                  INCOME                          
    SUBCHAPTER II - THE PLAN

-HEAD-
    Sec. 1329. Modification of plan after confirmation

-STATUTE-
      (a) At any time after confirmation of the plan but before the
    completion of payments under such plan, the plan may be modified,
    upon request of the debtor, the trustee, or the holder of an
    allowed unsecured claim, to - 
        (1) increase or reduce the amount of payments on claims of a
      particular class provided for by the plan;
        (2) extend or reduce the time for such payments;
        (3) alter the amount of the distribution to a creditor whose
      claim is provided for by the plan to the extent necessary to take
      account of any payment of such claim other than under the plan;
      or
        (4) reduce amounts to be paid under the plan by the actual
      amount expended by the debtor to purchase health insurance for
      the debtor (and for any dependent of the debtor if such dependent
      does not otherwise have health insurance coverage) if the debtor
      documents the cost of such insurance and demonstrates that - 
          (A) such expenses are reasonable and necessary;
          (B)(i) if the debtor previously paid for health insurance,
        the amount is not materially larger than the cost the debtor
        previously paid or the cost necessary to maintain the lapsed
        policy; or
          (ii) if the debtor did not have health insurance, the amount
        is not materially larger than the reasonable cost that would be
        incurred by a debtor who purchases health insurance, who has
        similar income, expenses, age, and health status, and who lives
        in the same geographical location with the same number of
        dependents who do not otherwise have health insurance coverage;
        and
          (C) the amount is not otherwise allowed for purposes of
        determining disposable income under section 1325(b) of this
        title;

      and upon request of any party in interest, files proof that a
      health insurance policy was purchased.

      (b)(1) Sections 1322(a), 1322(b), and 1323(c) of this title and
    the requirements of section 1325(a) of this title apply to any
    modification under subsection (a) of this section.
      (2) The plan as modified becomes the plan unless, after notice
    and a hearing, such modification is disapproved.
      (c) A plan modified under this section may not provide for
    payments over a period that expires after the applicable commitment
    period under section 1325(b)(1)(B) after the time that the first
    payment under the original confirmed plan was due, unless the
    court, for cause, approves a longer period, but the court may not
    approve a period that expires after five years after such time.

-SOURCE-
    (Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2651; Pub. L. 98-353, title
    III, Secs. 319, 533, July 10, 1984, 98 Stat. 357, 389; Pub. L. 109-
    8, title I, Sec. 102(i), title III, Sec. 318(4), Apr. 20, 2005,
    119 Stat. 34, 94.)


-MISC1-
                       HISTORICAL AND REVISION NOTES                   

                         SENATE REPORT NO. 95-989                     
      At any time prior to the completion of payments under a confirmed
    plan, the plan may be modified, after notice and hearing, to change
    the amount of payments to creditors or a particular class of
    creditors and to extend or reduce the payment period. A modified
    plan may not contain any provision which could not be included in
    an original plan as prescribed by section 1322. A modified plan may
    not call for payments to be made beyond four years as measured from
    the date of the commencement of payments under the original plan.

                                AMENDMENTS                            
      2005 - Subsec. (a)(4). Pub. L. 109-8, Sec. 102(i), added par.
    (4).
      Subsec. (c). Pub. L. 109-8, Sec. 318(4), substituted "the
    applicable commitment period under section 1325(b)(1)(B)" for
    "three years".
      1984 - Subsec. (a). Pub. L. 98-353, Secs. 319, 533(1), (2),
    inserted "of the plan" after "confirmation", substituted "such
    plan" for "a plan", and inserted provisions respecting requests by
    the debtor, the trustee, or the holder of an allowed unsecured
    claim for modification.
      Subsec. (a)(3). Pub. L. 98-353, Sec. 533(3), substituted "plan
    to" for "plan, to".

                     EFFECTIVE DATE OF 2005 AMENDMENT                 
      Amendment by Pub. L. 109-8 effective 180 days after Apr. 20,
    2005, and not applicable with respect to cases commenced under this
    title before such effective date, except as otherwise provided, see
    section 1501 of Pub. L. 109-8, set out as a note under section 101
    of this title.

                     EFFECTIVE DATE OF 1984 AMENDMENT                 
      Amendment by Pub. L. 98-353 effective with respect to cases filed
    90 days after July 10, 1984, see section 552(a) of Pub. L. 98-353,
    set out as a note under section 101 of this title.

-End-



-CITE-
    11 USC Sec. 1330                                            01/03/2007

-EXPCITE-
    TITLE 11 - BANKRUPTCY
    CHAPTER 13 - ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR
                  INCOME                          
    SUBCHAPTER II - THE PLAN

-HEAD-
    Sec. 1330. Revocation of an order of confirmation

-STATUTE-
      (a) On request of a party in interest at any time within 180 days
    after the date of the entry of an order of confirmation under
    section 1325 of this title, and after notice and a hearing, the
    court may revoke such order if such order was procured by fraud.
      (b) If the court revokes an order of confirmation under
    subsection (a) of this section, the court shall dispose of the case
    under section 1307 of this title, unless, within the time fixed by
    the court, the debtor proposes and the court confirms a
    modification of the plan under section 1329 of this title.

-SOURCE-
    (Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2651.)


-MISC1-
                       HISTORICAL AND REVISION NOTES                   

                          LEGISLATIVE STATEMENTS                      
      Section 1331 of the House bill and Senate amendment is deleted in
    the House amendment.
      Special tax provision: Section 1331 of title 11 of the House bill
    and the comparable provisions in sections 1322 and 1327(d) of the
    Senate amendment, pertaining to assessment and collection of taxes
    in wage earner plans, are deleted, and the governing rule is placed
    in section 505(c) of the House amendment. The provisions of both
    bills allowing assessment and collection of taxes after
    confirmation of the wage-earner plan are modified to allow
    assessment and collection after the court fixes the fact and amount
    of a tax liability, including administrative period taxes,
    regardless of whether this occurs before or after confirmation of
    the plan. The provision of the House bill limiting the collection
    of taxes to those assessed before one year after the filing of the
    petition is eliminated, thereby leaving the period of limitations
    on assessment of these nondischargeable tax liabilities the usual
    period provided by the Internal Revenue Code [Title 26].

                         SENATE REPORT NO. 95-989                     
      The court may revoke an order of confirmation procured by fraud,
    after notice and hearing, on application of a party in interest
    filed within 180 days after the entry of the order. Thereafter,
    unless a modified plan is confirmed, the court is to convert or
    dismiss the chapter 13 case as provided in section 1307.

-End-