Title 11BankruptcyRelease 119-73

§1185 Removal of debtor in possession

Title 11 › Chapter CHAPTER 11— - REORGANIZATION › Subchapter SUBCHAPTER V— - SMALL BUSINESS DEBTOR REORGANIZATION › § 1185

Last updated Apr 6, 2026|Official source

Summary

If someone who has an interest in the case asks, and after giving notice and holding a hearing, the court must remove the debtor in possession for cause — for example, fraud, dishonesty, incompetence, gross mismanagement, or failing to carry out a confirmed plan. The court can also put the debtor back in that role if someone asks and, after notice and a hearing, the court decides to reinstate them.

Full Legal Text

Title 11, §1185

Bankruptcy — Source: USLM XML via OLRC

(a)On request of a party in interest, and after notice and a hearing, the court shall order that the debtor shall not be a debtor in possession for cause, including fraud, dishonesty, incompetence, or gross mismanagement of the affairs of the debtor, either before or after the date of commencement of the case, or for failure to perform the obligations of the debtor under a plan confirmed under this subchapter.
(b)On request of a party in interest, and after notice and a hearing, the court may reinstate the debtor in possession.

Legislative History

Notes & Related Subsidiaries

Statutory Notes and Related Subsidiaries

Effective Date

Section effective 180 days after Aug. 23, 2019, see section 5 of Pub. L. 116–54, set out as an

Effective Date

of 2019 Amendment note under section 101 of this title.

Reference

Citations & Metadata

Citation

11 U.S.C. § 1185

Title 11Bankruptcy

Last Updated

Apr 6, 2026

Release point: 119-73