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Standing Order 21-2 Issued Regarding Discharge in Subchapter V Cases

Friday, November 19, 2021

On November 11, 2021, the Bankruptcy Court issued Standing Order 21-2, "Order Requiring a Motion for Discharge in Subchapter V Cases."  It explains the simple procedure that a debtor must follow to obtain an Order of Discharge in a Chapter 11 case under Subchapter V.  Once the debtor becomes eligible for a discharge, the debtor must promptly file a motion requesting entry of an Order of Discharge using the Motions/Applications>Chapter 11 Discharge event.  That event prompts the filer to indicate whether the plan was confirmed as either consensual or non-consensual.  The debtor must contemporaneously submit a draft order granting the motion.  Simple, brief language stating that the "Debtor's motion for entry of an order of discharge is granted" is sufficient.  If the debtor is eligible for discharge, the court will enter the proposed order granting the motion.  The court will then issue the Order of Discharge that applies in the case.