Stock and Commodity brokers Commencement of the Proceeding Voluntary or Involuntary petitions. Insolvency is not necessary. Debtor has exclusive right to file a plan during the 120 days after the order of relief. Confirmation of Plan will be determined at in hearing in court. To become effective, the plan Must be a certain percentage of the impairment Must provide full payment for administrative expenses Must be confirmed by the court Cram down plan.
Court is forced to reorganize a fair payment to creditor.
Judge has limited power to appoint a trustee. The court appoints committee of unsecured creditors after order of relief. All persons who are entitled to participate in the plan of reorganization have a period of not less than five years from the date of the final decree to exchange in the old business organization for the new securities in the new business organization. Applies to Family Farmers and Individuals and the adjustment of their debts. Chapter 12, Adjustment of Debts of a Family Farmer with Regular Annual Income.