John P. Fitzgerald, III

Acting United States Trustee

For Region 4

Jack Frankel, Attorney

115 S Union Street

Alexandria, VA 22314

(703) 557-7229

Jack.I.Frankel@USDOJ.Gov

United States Bankruptcy Court

Eastern District of Virginia

Alexandria Division

In re:

Valley Green Landscaping, Inc. Case No. 18-11216-BFK

Debtor. Chapter 11

 Hearing Monday, April 22, 2019, 11:00 am

 Courtroom I, 2nd Floor

Motion to Dismiss or Convert Case to Chapter 7

 Comes Now, John P. Fitzgerald, III, Acting United States Trustee for Region 

4, and moves the Court to dismiss or convert this case to Chapter 7 pursuant to 

Section 1112(b)(4) of the Bankruptcy Code. 

 Cause exists to grant the requested relief:

• Inability to confirm a plan – This is a small business case. No disclosure 

statement and plan have been filed. The time period to file a disclosure 

statement and plan has expired. 11 U.S.C. Section 1121(e)(2); Section 

1112(b)(4).

Jurisdiction

1. This Court has authority to hear and decide this matter. 28 U.S.C. § 1334.

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2. This is a core proceeding. 28 U.S.C. §157.

Statement of Facts

1. On April 6, 2018, the Debtor filed a petition for relief under Chapter 11 of 

the Bankruptcy Code. 

2. In the petition, the Debtor checked it was a small business debtor as defined 

in 11 U.S.C. Section 101(51D). Voluntary Petition for Non-Individuals 

Filing for Bankruptcy, Docket No. 1, page 2, Question No. 8.

3. Section 1121(e) of the Bankruptcy Code states, in part: “In a small business 

case ... (2) the plan and disclosure statement (if any) shall be filed not later 

than 300 days after the date of the order for relief;”

4. The time period to file a disclosure statement and plan has not been 

extended by the Court.

5. It is too late to request the Court to extend the time period to file a 

disclosure statement and plan. 

6. A requirement to extend the time to file a disclosure statement and plan is 

that the order must extending the time must be signed before the 300-day 

deadline. Section 1121(e)(3)(C) of the Bankruptcy Code states “the order 

extending time [to file disclosure statement and plan] is signed before the 

existing deadline has expired.”

7. The deadline has expired. 

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Argument

 The Court, for cause, after notice and hearing, may dismiss or convert a case to 

a case under Chapter 7 whichever is in the best interests of creditors and the estate. 

11 U.S.C. Section 1112(b)(1). 

 The failure to file a disclosure statement and plan within 300 days is cause to 

convert or dismiss this case. As stated in In re Veridia, LLC, No. 2:15-BK-20181, 

2016 WL 3049655, at *3 (Bankr. S.D.W. Va. May 20, 2016) “Congress could not 

have been clearer...cause exists to dismiss or convert the case for the failure of any 

party to file a plan within the 300-day period or to timely obtain an extension.”

(citations omitted).

 There is no bright-line test to determine whether conversion or dismissal is in 

the best interests of the creditors and the estate. In re Babayoff, 445 B.R. 64, 81 

(Bankr. E.D.N.Y. 2011).

 The case should be dismissed or converted to Chapter 7, whichever is in the 

best interests of the estate and creditors.

John P. Fitzgerald, III,

Acting United States Trustee

For Region 4

/s/ Jack Frankel

Jack Frankel, Attorney

Office of United States Trustee

115 S Union Street

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Alexandria, VA 22314

(703) 557-7229

Certificate of Service

 I hereby certify that on the 22nd day of March, 2019, I mailed, United States mail, first class, 

postage prepaid, a true copy of this motion and notice of motion and hearing to:

Valley Green Landscaping, Inc.

PO Box 1003

Falls Church, VA 22041

Ashvin Pandurangi

AP Law Group, PLC

211 Park Ave.

Falls Church, VA 22046

Email: ap@aplawg.com

/s/ Jack Frankel

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