IIA
105TH CONGRESS
1ST SESSION
H. R. 764
IN THE SENATE OF THE UNITED STATES
NOVEMBER 13, 1997
Received; read twice and referred to the Committee on the Judiciary
AN ACT
To make technical corrections to title 11, United States
Code, and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
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SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Bankruptcy Amend-
ments of 1997’’.
SEC. 2. DEFINITIONS.
Section 101 of title 11, United States Code, is
amended—
(1) by striking ‘‘In this title—’’ and inserting
‘‘In this title:’’,
(2) in each paragraph by inserting ‘‘The term’’
after the paragraph designation,
(3) in paragraph (35)(B) by striking ‘‘para-
graphs (21B) and (33)(A)’’ and inserting ‘‘para-
graphs (23) and (35)’’,
(4) in paragraphs (35A) and (38) by striking ‘‘;
and’’ at the end and inserting a period,
(5) in paragraph (51B)—
(A) by inserting ‘‘who is not a family farm-
er’’ after ‘‘debtor’’ the first place it appears,
and
(B) by striking ‘‘$4,000,000’’ and insert-
ing ‘‘$15,000,000 as of the date of the filing of
the petition’’,
(6) by amending paragraph (54) to read as fol-
lows:
‘‘(54) The term ‘transfer’ means—
‘‘(A) creation of a lien;
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‘‘(B) retention of title as a security inter-
est;
‘‘(C) foreclosure of the debtor’s equity of
redemption; or
‘‘(D) every mode, direct or indirect, abso-
lute or conditional, voluntary or involuntary, of
disposing of or parting with property or with an
interest in property;’’,
(7) in paragraphs (1) through (35), in para-
graphs (36) and (37), and in paragraphs (40)
through (55), including paragraph (54) as added by
this section, by striking the semicolon at the end and
inserting a period, and
(8) by redesignating paragraphs (4) through
(55), including paragraph (54) as added by this sec-
tion, in entirely numerical sequence.
SEC. 3. ADJUSTMENT OF DOLLAR AMOUNTS.
Section 104 of title 11, United States Code, is
amended by inserting ‘‘522(f)(3),’’ after ‘‘522(d),’’ each
place it appears.
SEC. 4. EXTENSION OF TIME.
Section 108(c)(2) of title 11, United States Code, is
amended by striking ‘‘922’’ and all that follows through
‘‘or’’, and inserting ‘‘922, 1201, or’’.
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SEC. 5. PENALTY FOR PERSONS WHO NEGLIGENTLY OR
FRAUDULENTLY PREPARE BANKRUPTCY PE-
TITIONS.
Section 110(j)(3) of title 11, United States Code, is
amended 
by 
striking 
‘‘attorney’s’’ 
and 
inserting
‘‘attorneys’ ’’.
SEC. 6. LIMITATION ON COMPENSATION OF PROFESSIONAL
PERSONS.
Section 328(a) of title 11, United States Code, is
amended by inserting ‘‘on a fixed or percentage fee basis,’’
after ‘‘hourly basis,’’.
SEC. 7. COMPENSATION TO OFFICERS.
Section 330(a) of title 11, United States Code, is
amended—
(1) in paragraph (1) by inserting ‘‘, or the
debtor’s attorney’’ after ‘‘1103’’, and
(2) in paragraph (3) by striking ‘‘(3)(A) In’’
and inserting ‘‘(3) In’’.
SEC. 8. SPECIAL TAX PROVISIONS.
Section 346(g)(1)(C) of title 11, United States Code,
is amended by striking ‘‘, except’’ and all that follows
through ‘‘1986’’.
SEC. 9. EFFECT OF CONVERSION.
Section 348(f)(2) of title 11, United States Code, is
amended by inserting ‘‘of the estate’’ after ‘‘property’’ the
first place it appears.
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SEC. 10. AUTOMATIC STAY.
Section 362(b) of title 11, United States Code, is
amended—
(1) in paragraph (17) by striking ‘‘or’’ at the
end,
(2) in paragraph (18) by striking the period at
the end and inserting ‘‘; or’’, and
(3) by adding at the end the following:
‘‘(19) under subsection (a) of this section, of
any transfer that is not avoidable under section 544
and not avoidable under section 549.’’.
SEC. 11. DEFAULTS BASED ON NONMONETARY OBLIGA-
TIONS.
(a) EXECUTORY
CONTRACTS
AND
UNEXPIRED
LEASES.—Section 365 of title 11, United States Code, is
amended—
(1) in subsection (b)—
(A) in paragraph (1)(A) by striking the
semicolon at the end and inserting the follow-
ing:
‘‘other than a default that is a breach of a provision
relating to—
‘‘(i) the satisfaction of any provision (other
than a penalty rate or penalty provision) relat-
ing to a default arising from any failure to per-
form 
nonmonetary 
obligations 
under 
an