The process of resolving a disputed issue in a bankruptcy proceeding is different from a regular legal case. The party involved must file a motion instead of a complaint, and if there is an objection, the matter is considered contested. To reach a final resolution, interested parties are given reasonable notice and may go through a hearing or trial. Additionally, rules regarding discovery in contested matters are similar to those found in the Federal Rules of Civil Procedure, as outlined in Rule 9014(c) of the Federal Rules of Bankruptcy Procedure.
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Navigating the bankruptcy process can be complex and overwhelming. However, understanding the Federal Rules of Bankruptcy Procedure (FRBP) 9014 can help individuals and businesses file for bankruptcy with more ease and confidence. The FRBP 9014 covers motion, service, application of Part VII rule, the testimony of witnesses, and attendance of witnesses, all of which are essential aspects of the bankruptcy process.
This article will provide a comprehensive guide to FRBP 9014 and how it impacts the bankruptcy process. Whether you are filing for bankruptcy or seeking to understand the legal requirements and procedures involved, this guide will help you navigate the bankruptcy process with greater clarity and understanding.
Motion
A motion is a written request made to the court to take some action. A motion can be filed by either the debtor or a creditor. For example, if a creditor believes that a debtor is not eligible for bankruptcy, they can file a motion to dismiss the case. Similarly, if a debtor wants to modify their repayment plan, they can file a motion for that purpose.
If a contested matter is not covered by these rules, a motion must be filed to request relief and the party against whom the relief is sought must be given reasonable notice and an opportunity for a hearing. Unless the court directs otherwise, a response is not necessary under this rule.
Service
The motion must be served following the rules outlined in Rule 7004 for serving a summons and complaint, and within the time determined by Rule 9006(d). Any written response to the motion must also be served within the time determined by Rule 9006(d). Additionally, any paper served after the motion must be served following the rules provided in Rule 5(b) of the Federal Rules of Civil Procedure.
Application of Part VII Rule
Unless the court directs otherwise, the rules listed below shall apply except as provided in this rule: 7009, 7017, 7021, 7025, 7026, 7028–7037, 7041, 7042, 7052, 7054–7056, 7064, 7069, and 7071. When it comes to contested matters, the following subdivisions of Fed. R. Civ. P. 26 that are incorporated by Rule 7026 shall not apply unless the court directs otherwise: 26(a)(1) (mandatory disclosure), 26(a)(2) (disclosures regarding expert testimony), and 26(a)(3) (additional pre-trial disclosure), and 26(f) (mandatory meeting before scheduling conference/discovery plan). If an entity desires to perpetuate testimony, it can follow the same procedure as provided in Rule 7027 for taking a deposition before an adversary proceeding. The court may direct that one or more of the other rules in Part VII shall apply at any stage in a particular matter. The parties must be given notice of any order issued under this paragraph to afford them a reasonable opportunity to comply with the procedures prescribed by the order.
Testimony of Witnesses
When it comes to disputed factual issues, witnesses’ testimonies must be obtained in a manner similar to that of an adversary proceeding.
Attendance of Witnesses
The court must establish processes that allow the involved parties to determine in advance of a scheduled hearing if the hearing will involve witness testimony and be classified as an evidentiary hearing. This should be done in a reasonable time frame.
Conclusion
In conclusion, the Federal Rules of Bankruptcy Procedure 9014 is a critical component of the bankruptcy process. By understanding the rules governing motion, service, application of Part VII rule, testimony of witnesses, and attendance of witnesses, individuals and businesses can navigate the bankruptcy process with greater ease and confidence.
Following these rules ensures that the process is fair, transparent, and accessible to all parties involved. Whether you are seeking to file for bankruptcy or simply seeking to understand the legal requirements and procedures involved, the information provided in this guide will help you navigate the bankruptcy process with greater clarity and understanding.
FAQs
What is Rule 9014 of the Federal Rules of Bankruptcy Procedure?
Rule 9014 is a rule within the Federal Rules of Bankruptcy Procedure that outlines procedures for resolving disputed issues in bankruptcy proceedings.
How is the process of resolving disputes in a bankruptcy proceeding different from a regular legal case?
In a bankruptcy proceeding, a party must file a motion instead of a complaint to address a disputed issue. If an objection is raised, the matter becomes contested. Interested parties are given reasonable notice and may participate in a hearing or trial to reach a final resolution.
What is a contested matter in a bankruptcy proceeding?
A contested matter is a legal dispute that arises during a bankruptcy proceeding, which requires a hearing or trial to reach a final resolution.
What are the rules regarding discovery in contested matters?
The rules regarding discovery in contested matters are similar to those found in the Federal Rules of Civil Procedure, as outlined in Rule 9014(c) of the Federal Rules of Bankruptcy Procedure.
What is the purpose of Rule 9014 of the Federal Rules of Bankruptcy Procedure?
The purpose of Rule 9014 is to provide procedures for resolving disputed issues in bankruptcy proceedings, including how motions are filed, how objections are handled, and how hearings or trials are conducted.
Who can participate in a hearing or trial for a contested matter?
Interested parties, such as creditors, debtors, and other affected parties, may participate in a hearing or trial for a contested matter.
Glossary
- Bankruptcy: A legal process in which an individual or business declares inability to pay its debts and seeks protection from creditors.
- Federal Rules of Bankruptcy Procedure: A set of rules that govern the way bankruptcy cases are handled in federal courts.
- Chapter 7: A type of bankruptcy where a debtor’s non-exempt assets are sold to pay off creditors.
- Chapter 11: A type of bankruptcy where a debtor reorganizes their debts to pay off creditors over time.
- Chapter 13: A type of bankruptcy where a debtor creates a repayment plan to pay off creditors over a period of three to five years.
- Adversary proceeding: A lawsuit that is filed within a bankruptcy case to resolve a specific dispute between parties.
- Automatic stay: A court order that immediately stops creditors from taking any collection actions against a debtor.
- Bankruptcy code: The federal law that governs bankruptcy proceedings in the United States.
- Bankruptcy court: The court that handles bankruptcy cases and related proceedings.
- Debtor: An individual or business that owes money to creditors.
- Discharge: A court order that releases a debtor from certain debts and obligations.
- Exemptions: Assets that are protected from being sold to pay off creditors in a bankruptcy case.
- Liquidation: The process of selling a debtor’s non-exempt assets to pay off creditors in a Chapter 7 bankruptcy case.
- Plan confirmation: The court’s approval of a debtor’s repayment plan in a Chapter 13 bankruptcy case.
- Proof of claim: A document filed by a creditor that asserts a right to payment from the debtor.
- Reaffirmation agreement: An agreement between a debtor and a creditor to continue to pay a debt after bankruptcy.
- Secured creditor: A creditor that has a lien or security interest in the debtor’s property.
- Trustee: A court-appointed individual who manages a debtor’s assets in a bankruptcy case.
- Unsecured creditor: A creditor that does not have a lien or security interest in the debtor’s property.
- Wage garnishment: A court order that requires an employer to withhold a portion of an employee’s wages to pay off a debt.
