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California Southern Bankruptcy Court Adopts Three General Orders

Tuesday, January 28, 2020

General Order 194-A amends the Local Bankruptcy Rules effective February 1, 2020

On December 20, 2019, the Court adopted amendments to its Local Bankruptcy Rules following a period of public comment. Since that time, the Executive Committee of the Judicial Conference of the United States has approved interim rules to be adopted locally for the processing of subchapter V Chapter 11 cases. This subchapter was created as part of the Small Business Reorganization Act of 2019. The interim rules are silent as to a bar date for the filing of claims in subchapter V cases and this amendment addresses that issue.  The February 1 PDF file of the Local Bankruptcy Rules includes a revision date of January 28, 2020 to reflect that it is an updated file including the amendment.


General Order 195 adopts the national interim rules for Subchapter V cases effective February 19, 2020

On August 23, 2019, the Small Business Reorganization Act of 2019 (the SBRA) was enacted into law. The SBRA make many substantive and procedural changes to the Bankruptcy Code and requires changes to the Federal Rules of Bankruptcy Procedure to implement those changes. However, the February 19, 2020 effective date of the SBRA occurs long before the Bankruptcy Rules can be amended under the three-year process required by the Rules (the Advisory Committee) drafted, published for comment, and subsequently approved interim bankruptcy rules (the Interim Rules) for distribution to the courts. The Committee of Rules of Practice and Procedure approved the Interim Rules, and the Judicial Conference authorized distribution of the Interim Rules to courts for adoption locally to facilitate uniform implementation of the changes mandated by the SBRA.  The Interim Rules shall remain in effect until further order of the Court.


General Order 193-A amends the guidelines for payment change for on home-equity lines of credit agreements

Having considered comments received following publication of General Order 193, this amendment clarifies the effective date for these guidelines.