Source: http://topics.law.cornell.edu/uscode/text/11/109?quicktabs_8=1
Timestamp: 2013-12-11 08:46:45
Document Index: 658680799

Matched Legal Cases: ['§ 109', '§ 109', '§ 109', '§ 703', '§ 301', '§ 253', '§ 2', '§ 108', '§ 220', '§ 402', '§ 501', '§ 1', '§ 112', '§ 1', '§ 1', '§ 106', '§ 802', '§ 1007', '§ 1204', '§ 2', '§ 2', '§ 84', '§ 611', '§ 2', '§ 2', '§ 1204', '§ 802', '§ 1007', '§ 106', '§ 1', '§ 1', '§ 1', '§ 112', '§ 1', '§ 112', '§ 220', '§ 402', '§ 108', '§ 253', '§ 253', '§ 425', '§ 425', '§ 425', '§ 301', '§ 7']

11 USC § 109 - Who may be a debtor | Title 11 - Bankruptcy | U.S. Code | LII / Legal Information Institute
USC › Title 11 › Chapter 1 › § 109	prevnext
11 USC § 109 - Who may be a debtor
Subject to paragraphs (2) and (3), and notwithstanding any other provision of this section other than paragraph (4) of this subsection, an individual may not be a debtor under this title unless such individual has, during the 180-day period ending on the date of filing of the petition by such individual, received from an approved nonprofit budget and credit counseling agency described in section 111
(a) an individual or group briefing (including a briefing conducted by telephone or on the Internet) that outlined the opportunities for available credit counseling and assisted such individual in performing a related budget analysis.
Subject to subparagraph (B), the requirements of paragraph (1) shall not apply with respect to a debtor who submits to the court a certification that—
(Pub. L. 95–598, Nov. 6, 1978, 92 Stat. 2557; Pub. L. 97–320, title VII, § 703(d),Oct. 15, 1982, 96 Stat. 1539; Pub. L. 98–353, title III, §§ 301, 425,July 10, 1984, 98 Stat. 352, 369; Pub. L. 99–554, title II, § 253,Oct. 27, 1986, 100 Stat. 3105; Pub. L. 100–597, § 2,Nov. 3, 1988, 102 Stat. 3028; Pub. L. 103–394, title I, § 108(a), title II, § 220, title IV, § 402, title V, § 501(d)(2),Oct. 22, 1994, 108 Stat. 4111, 4129, 4141, 4143; Pub. L. 106–554, § 1(a)(5) [title I, § 112(c)(1), (2)], § 1(a)(8) [§ 1(e)], Dec. 21, 2000, 114 Stat. 2763, 2763A–393, 2763A–665; Pub. L. 109–8, title I, § 106(a), title VIII, § 802(d)(1), title X, § 1007(b), title XII, § 1204(1),Apr. 20, 2005, 119 Stat. 37, 146, 188, 193; Pub. L. 111–16, § 2(1),May 7, 2009, 123 Stat. 1607; Pub. L. 111–327, § 2(a)(6),Dec. 22, 2010, 124 Stat. 3557.)
(c) contains a provision which tracks the Senate amendment as to when a municipality may be a debtor under chapter 11 of title 11. As under the Bankruptcy Act [former title 11], State law authorization and prepetition negotiation efforts are required.
(e) represents a compromise between H.R. 8200 as passed by the House and the Senate amendment relating to the dollar amounts restricting eligibility to be a debtor under chapter 13 of title 11. The House amendment adheres to the limit of $100,000 placed on unsecured debts in H.R. 8200 as passed by the House. It adopts a midpoint of $350,000 as a limit on secured claims, a compromise between the level of $500,000 in H.R. 8200 as passed by the House and $200,000 as contained in the Senate amendment.
Subsection (c) defines eligibility for chapter 9. Only a municipality that is unable to pay its debts as they mature, and that is not prohibited by State law from proceeding under chapter 9, is permitted to be a chapter 9 debtor. The subsection is derived from Bankruptcy Act § 84 [section 404 of former title 11], with two changes. First, section 84 requires that the municipality be “generally authorized to file a petition under this chapter by the legislature, or by a governmental officer or organization empowered by State law to authorize the filing of a petition.” The “generally authorized” language is unclear, and has generated a problem for a Colorado Metropolitan District that attempted to use chapter IX [chapter 9 of former title 11] in 1976. The “not prohibited” language provides flexibility for both the States and the municipalities involved, while protecting State sovereignty as required by Ashton v. Cameron County Water District No. 1, 298 U.S. 513 (1936) [56 S.Ct. 892, 80 L.Ed. 1309, 31 Am.Bankr.Rep.N.S. 96, rehearing denied 57 S.Ct. 5, 299 U.S. 619, 81 L.Ed. 457] and Bekins v. United States, 304 U.S. 27 (1938) [58 S.Ct. 811, 82 L.Ed. 1137, 36 Am.Bankr.Rep.N.S. 187, rehearing denied 58 S.Ct. 1043, 1044, 304 U.S. 589, 82 L.Ed. 1549].
Section 3(h) of the Federal Deposit Insurance Act, referred to in subsec. (b)(2), is classified to section 1813
Section 25A of the Federal Reserve Act, referred to in subsecs. (b)(2) and (d), popularly known as the Edge Act, is classified to subchapter II (§ 611 et seq.) of chapter 6 of Title 12, Banks and Banking. For complete classification of this Act to the Code, see Short Title note set out under section 611 of Title 12 and Tables.
2010—Subsec. (b)(3)(B). Pub. L. 111–327, § 2(a)(6)(A), inserted closing parenthesis after “1978”.
Subsec. (h)(1). Pub. L. 111–327, § 2(a)(6)(B), inserted “other than paragraph (4) of this subsection” after “this section” and substituted “ending on” for “preceding”.
2009—Subsec. (h)(3)(A)(ii). Pub. L. 111–16substituted “7-day” for “5-day”.
2005—Subsec. (b)(2). Pub. L. 109–8, § 1204(1), struck out “subsection (c) or (d) of” before “section 301”.
Subsec. (b)(3). Pub. L. 109–8, § 802(d)(1), added par. (3) and struck out former par. (3) which read as follows: “a foreign insurance company, bank, savings bank, cooperative bank, savings and loan association, building and loan association, homestead association, or credit union, engaged in such business in the United States.”
Subsec. (f). Pub. L. 109–8, § 1007(b), inserted “or family fisherman” after “family farmer”.
Subsec. (h). Pub. L. 109–8, § 106(a), added subsec. (h).
2000—Subsec. (b)(2). Pub. L. 106–554, § 1(a)(8) [§ 1(e)], inserted “a New Markets Venture Capital company as defined in section 351 of the Small Business Investment Act of 1958,” after “homestead association,”.
Pub. L. 106–554, § 1(a)(5) [title I, § 112(c)(1)], substituted “, except that an uninsured State member bank, or a corporation organized under section 25A of the Federal Reserve Act, which operates, or operates as, a multilateral clearing organization pursuant to section 409 of the Federal Deposit Insurance Corporation Improvement Act of 1991 may be a debtor if a petition is filed at the direction of the Board of Governors of the Federal Reserve System; or” for “; or”.
Subsec. (d). Pub. L. 106–554, § 1(a)(5) [title I, § 112(c)(2)], amended subsec. (d) generally. Prior to amendment, subsec. (d) read as follows: “Only a person that may be a debtor under chapter 7 of this title, except a stockbroker or a commodity broker, and a railroad may be a debtor under chapter 11 of this title.”
1994—Subsec. (b)(2). Pub. L. 103–394, §§ 220, 501
(d)(2), inserted “a small business investment company licensed by the Small Business Administration under subsection (c) or (d) ofsection 301 of the Small Business Investment Act of 1958,” after “homestead association,” and struck out “(12 U.S.C. 1813
(h))” after “Insurance Act”.
Subsec. (c)(2). Pub. L. 103–394, § 402, substituted “specifically authorized, in its capacity as a municipality or by name,” for “generally authorized”.
Subsec. (e). Pub. L. 103–394, § 108(a), substituted “$250,000” and “$750,000” for “$100,000” and “$350,000”, respectively, in two places.
1988—Subsec. (c)(3). Pub. L. 100–597struck out “or unable to meet such entity’s debts as such debts mature” after “insolvent”.
1986—Subsec. (f). Pub. L. 99–554, § 253(1)(B), (2), added subsec. (f) and redesignated former subsec. (f) as (g).
Subsec. (g). Pub. L. 99–554, § 253(1), redesignated former subsec. (f) as (g) and inserted reference to family farmer.
1984—Subsec. (a). Pub. L. 98–353, § 425(a), struck out “in the United States,” after “only a person that resides”.
Subsec. (c)(5)(D). Pub. L. 98–353, § 425(b), substituted “transfer that is avoidable under section 547 of this title” for “preference”.
Subsec. (d). Pub. L. 98–353, § 425(c), substituted “stockbroker” for “stockholder”.
Subsec. (f). Pub. L. 98–353, § 301, added subsec. (f).
1982—Subsec. (b)(2). Pub. L. 97–320inserted reference to industrial banks or similar institutions which are insured banks as defined in section 3(h) of the Federal Deposit Insurance Act (12 U.S.C. 1813
Pub. L. 111–16, § 7,May 7, 2009, 123 Stat. 1609, provided that: “The amendments made by this Act [amending this section, sections 322, 332, 342, 521, 704, 749, and 764 of this title, sections 983, 1514, 1963, 2252A, 2339B, 3060, 3432, 3509, and 3771 of Title 18, Crimes and Criminal Procedure, section 7 of the Classified Information Procedures Act set out in the Appendix to Title 18, section 853 of Title 21, Food and Drugs, and sections 636, 1453, and 2107 of Title 28, Judiciary and Judicial Procedure] shall take effect on December 1, 2009.”