Notice to the Bar and Public Concerning Enactment of the Small Business Reorganization Act of 2019 (the "SBRA")
UNITED STATES BANKRUPTCY COURT
DISTRICT OF NEW JERSEY
NOTICE TO THE BAR AND PUBLIC
CONCERNING ENACTMENT OF THE SMALL
BUSINESS REORGANIZATION ACT OF 2019 (the “SBRA”)
Please be advised that, effective February 19, 2020, the attached Standing Order Adopting Interim Rules of Bankruptcy Procedure Implementing the Small Business Reorganization Act of 2019 (“Standing Order”) adopts certain interim changes to the Federal Rules of Bankruptcy Procedure (“Interim Rules”), as approved by the Advisory Committee on Bankruptcy Rules. The Interim Rules are intended to facilitate the uniform implementation of the changes mandated by the SBRA.
To further facilitate the implementation of the SBRA, the bar and public are advised that, effective February 19, 2020, the attached General Order Pending Adoption of Mandatory Local Forms Relating to the Small Business Reorganization Act of 2019 requires use of the following mandatory local forms:
- Subchapter V Status Report
- Small Business Debtor’s Plan of Reorganization [or Liquidation] for Subchapter V Small Business Cases
Finally, the following local guidelines, which are subject to further review and comment as the practice under the SBRA evolves, are offered as guideposts for the fee structure relative to a subchapter V trustee’s duties as set forth in 11 U.S.C. § 1183(b):
- § 1183(b)(1) - $1,000.00
- §1183(b)(2) - fee application required
- §1183(b)(3) - $500.00 per appearance
- §1183(b)(4) - $350.00
- §1183(b)(5) - fee application required
- §1183(b)(6) - $350.00
- §1183(b)(7) - fee application required
- Hourly Rate - $350.00-$400.00 for a trustee appointed under 11 U.S.C. § 1183(a)
- If extraordinary services are required under § 1183(b)(1), (3), (4) and/or (6), the subchapter V trustee may apply for additional fees under D.N.J. LBR 2016-1.
Dated: February 10, 2020 Jeanne A. Naughton, Clerk