§1208 — Title 11 Bankruptcy | U.S. Code

Summary

A person who files can change their case to Chapter 7 bankruptcy at any time. Any agreement saying they give up that right is not valid. If the case has not already been changed under other rules, the filer can also ask the court to end the case at any time, and any promise to give up that right is not valid. Someone with a stake in the case can ask the court to end the case for cause, but the court must give notice and hold a hearing first. The law lists 10 possible reasons, including serious delay or mismanagement, not paying required fees, missing plan deadlines or payments, denial or revocation of plan confirmation, ongoing losses with no chance of recovery, and failing to pay domestic support payments that become due after the filing. The court can also dismiss or change the case to Chapter 7 for fraud. A case cannot be changed to a different chapter unless the filer is eligible under that chapter.

Title 11, §1208

Bankruptcy — Source: USLM XML via OLRC

(a)The debtor may convert a case under this chapter to a case under chapter 7 of this title at any time. Any waiver of the right to convert under this subsection is unenforceable.

(b)On request of the debtor at any time, if the case has not been converted under section 706 or 1112 of this title, the court shall dismiss a case under this chapter. Any waiver of the right to dismiss under this subsection is unenforceable.

(c)On request of a party in interest, and after notice and a hearing, the court may dismiss a case under this chapter for cause, including—

(1)unreasonable delay, or gross mismanagement, by the debtor that is prejudicial to creditors;

(2)nonpayment of any fees and charges required under chapter 123 of title 28;

(3)failure to file a plan timely under section 1221 of this title;

(4)failure to commence making timely payments required by a confirmed plan;

(5)denial of confirmation of a plan under section 1225 of this title and denial of a request made for additional time for filing another plan or a modification of a plan;

(6)material default by the debtor with respect to a term of a confirmed plan;

(7)revocation of the order of confirmation under section 1230 of this title, and denial of confirmation of a modified plan under section 1229 of this title;

(8)termination of a confirmed plan by reason of the occurrence of a condition specified in the plan;

(9)continuing loss to or diminution of the estate and absence of a reasonable likelihood of rehabilitation; and

(10)failure of the debtor to pay any domestic support obligation that first becomes payable after the date of the filing of the petition.

(d)On request of a party in interest, and after notice and a hearing, the court may dismiss a case under this chapter or convert a case under this chapter to a case under chapter 7 of this title upon a showing that the debtor has committed fraud in connection with the case.

(e)Notwithstanding any other provision of this section, a case may not be converted to a case under another chapter of this title unless the debtor may be a debtor under such chapter.

Notes & Related Subsidiaries

Editorial Notes

Codification For repeal of section effective Oct. 1, 1998, and subsequent reenactment of section, see note set out preceding section 1201 of this title.

Amendments

2005—Subsec. (c)(10). Pub. L. 109–8, § 213(2), added par. (10).

Statutory Notes and Related Subsidiaries

Effective Date

of 2005 AmendmentAmendment by section 213(2) of Pub. L. 109–8 effective 180 days after Apr. 20, 2005, and not applicable with respect to cases commenced under this title before such

Effective Date

, except as otherwise provided, see section 1501 of Pub. L. 109–8, set out as a note under section 101 of this title.

Effective Date

sPermanent reenactment of section effective July 1, 2005, see section 1001(a)(2) of Pub. L. 109–8, set out as a Repeal, Reenactment, and Termination of Chapter note under section 1201 of this title. For

Effective Date

s of section and

Amendments

extending periods for which section was reenacted prior to permanent reenactment, see

Effective Date

and

Effective Date

of 1999, 2001, 2002, 2003, and 2004 Amendment notes set out under section 1201 of this title.

§1208 Conversion or dismissal

Summary

Title 11, §1208

Notes & Related Subsidiaries

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Amendments

Statutory Notes and Related Subsidiaries

Effective Date

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Amendments

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Citations & Metadata