18 Dec Four Bankruptcy Forms Changed December 1
Changes to four official bankruptcy forms went into effect December 1, 2012.
- Form B7– Statement of Financial Affairs
- Form B9– Notice of Commencement
- Form B10– Proof of Claim
- Form B21– Statement of Social Security Number
Form B7 – Statement of Financial Affairs was changed for the definition of “insider” in question 3.c. payments to insiders and question 23 withdrawals from partnerships or distributions by corporations to insiders.
The 2012 rules committee note advises the “definition of â€œinsiderâ€ is amended to conform to the statutory definition of the term.See 11 U.S.C. Â§ 101(31). Under the Code definition, ownership of 5% or more of the votingshares of a corporate debtor does not automatically make the owner an insider of the corporation.And in order to be an affiliate of the debtor and an insider on that basis, ownership or control ofat least 20% of the outstanding voting securities of the debtor is required. 11 U.S.C. Â§ 101(2).The phrase â€œany owner of 5% or more of the voting or equity securitiesâ€ is therefore deleted.Because Â§ 101(31) provides that a person in control of a debtor corporation is an insider, thatterm is substituted for the deleted phrase.”
Form B9 -Notice of Commencement of Case under the Bankruptcy Code, Meeting of Creditors, and Deadlines. Eleven versions of Form B9 were “updatedon the first page and in the claims box on theexplanation page to remind creditors that the form should not be included with or attached to anyproof of claim or other filing in the case. Stylistic changes to the form are also made.
Form B10 – Proof of Claim. “Section 7 of the form is amended to remind filers of the need to attach documentsrequired by Rule 3001(c) for claims based on an open-end or revolving consumer creditagreement or claims secured by a security interest in the debtorâ€™s principal residence.Section 8 is revised to delete the direction that an authorized agent attach a power ofattorney if one exists. Rule 9010(c) does not require that an agentâ€™s authority to file a proof ofclaim be evidenced by a power of attorney.”
Form B21 – Statement of Social Security Number wasamended to remind debtors that, in accordance with Rule 1007(f), it shouldbe submitted to the court, but not filed on the public docket. This rule protects an individualdebtorâ€™s social-security number or taxpayer-identification number from becoming accessible tothe public.
The forms changes were approved by the Advisory Committee on Bankruptcy Rules, theJudicial Conferenceâ€™s Committee on Rules of Practice and Procedure, and the U.S. Supreme Court. The rulemaking process for the federal courts starts with suggestions for changes and includes public comments.
Photo Credit: www.uscourts.gov
Latest posts by Jill Michaux (see all)
- Last Day to Comment on New Chapter 13 Plan, Petition, Schedules, Means Test, Bankruptcy Rules Changes - February 17, 2014
- Does Chapter 13 Mean Paying All Creditors Back? It Could Be Zero to Unsecured Claims - June 18, 2013
- Random Bankruptcy Audits Stopped - April 24, 2013
- What’s Baseball Got to Do with Bankruptcy? - March 31, 2013
- Bankruptcy Code Dollar Figures Raised 6.3% for Inflation - February 21, 2013