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District of Minnesota
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Minneapolis St. Paul

Local Rules Part 3


PART III

CLAIMS AND DISTRIBUTION; PLANS

RULE 3002-1. FILING PROOFS OF CLAIMS


(a) [ABROGATED]


(b) [ABROGATED]


(c) TIMELINESS OF PROOFS OF CLAIMS. In a Chapter 11 case, the last day to timely file a proof of claim is fixed at 90 days after the date first set for the meeting of creditors.


Fed. R. Bankr. P. Reference 3003.



RULE 3002-2. ADMINISTRATIVE EXPENSE CLAIMS


(a) CHAPTER 7 CASES. In a chapter 7 case, an entity, except a professional person governed by Local Rule 2016-1, requesting payment of an administrative expense shall file a request for payment asserting priority status and serve copies on the trustee and the United States Trustee. If the request is made under §§503(b)(4) or (b)(5) of the Code, the entity shall also file an application and serve copies on the trustee and the United States Trustee.


(b) CHAPTER 11, 12 AND 13 CASES. In a chapter 11, 12 or 13 case, a request for payment of an administrative expense shall be made by motion.


(c) CONVERSION TO CHAPTER 7. Holders of administrative expense claims incurred after the commencement of a case under Chapters 11, 12 and 13, but before conversion to a case under Chapter 7, shall, after conversion, file a request for payment and serve the same upon the trustee within the time fixed by the court. The request for payment shall conform substantially to Local Form 3002-2(c).



RULE 3002-3. PROOFS OF INTEREST


Unless ordered otherwise, if the debtor is a corporation or limited partnership, a proof of interest shall not be filed by a shareholder, limited partner or other equity security holder of the debtor.


Fed. R. Bankr. P. Reference 3003.



RULE 3007-1. CLAIMS - OBJECTIONS


An entity objecting to a claim shall file and serve a motion on the claimant, the debtor, the debtor's attorney, the trustee or examiner, the United States Trustee, and all committees not less than 28 days before the hearing. If the objector intends to assert a counterclaim against the claimant, the objector shall file and serve a complaint for such relief under Federal Rule of Bankruptcy Procedure 7001 and shall include the objection to the claim in the complaint.



RULE 3009-1. DIVIDENDS - CHAPTER 7 CASES


(a) [ABROGATED]


(b) DISTRIBUTION PURSUANT TO FINAL REPORT AND ACCOUNT.


(1) Generally. If there are no timely objections to the trustee's final report and account, the trustee shall make distributions in accordance with the report, except for compensation and reimbursement of expenses under §§ 503(b)(2), (b)(4) or (b)(5) which shall be made only to the extent allowed and awarded by the court.


(2) Distributions in Minimal Asset Cases. If the net proceeds realized do not exceed $1500 after payment of administrative expenses, the trustee shall make distribution for expenses and claims without notice, subject to the limitations in subparagraph (1) of this paragraph regarding payment of compensation and reimbursement of expenses.


(3) Discovery of Additional Assets. If additional funds are realized for the estate after final distribution has been made, whether or not the case has been closed, the trustee shall file a trustee's supplemental final report and account, and make payment on unpaid expenses and claims without further notice.



RULE 3010-1. SMALL DIVIDENDS - (CHAPTER 13 CASES)


Pursuant to Federal Rule of Bankruptcy Procedure 3010(b), the trustee in a chapter 13 case may make payments of less than $15.



RULE 3011-1. UNCLAIMED DIVIDENDS


(a) [ABROGATED]


(b) UNCLAIMED DIVIDENDS IN EXCESS OF $500. A trustee shall not pay a dividend which exceeds $500 into the court unless such payment is accompanied by a report from the trustee stating that the trustee has been unable to locate the creditor who filed the claim despite having made reasonable efforts to do so.



RULE 3012-1. VALUATION OF MORTGAGEE'S SECURED CLAIM


(a) MOTION. A Chapter 13 debtor seeking to modify a claim that is secured only by a security interest in real property that is the debtor's principal residence must provide for that modification in the plan and must bring a motion to determine the value of the secured claim.


(b) CONTENT OF MOTION TO VALUE CLAIM.


(1) Title. The title of the motion must include the name of the creditor holding the claim.


(2) Content of Motion. The motion must state, as of the commencement of the case:


A) The motion is to determine the secured status of the creditor's claim for the purpose of confirmation of the debtor's plan;


B) The debtor's plan proposes to treat the creditor's claim as unsecured in its entirety;


C) The address and legal description of the property;


D) The balance of the debt secured by the creditor's lien against the property; and


E) The name of each creditor holding a lien against the property, the amount of debt owing to each creditor, and the priority of each lien.


(3) Attachments to Motion. In addition to the documents required by Local Rule 9013-2(a), the motion must include the following attachments:


A) A copy of the recorded mortgage instrument and a copy of all recorded assignments and amendments;


B) A copy of all other evidence to establish that the identified creditor is the current holder of the mortgagee's rights under the mortgage;


C) A copy of the debtor's plan; and


D) Evidence of the fair market value of the property as of the commencement of the Chapter 13 case.


(c) SERVICE.


(1) The motion must be served in compliance with Fed. R. Bankr. P. 9014(b) on all parties identified in Local Rule 9013-3(a)(1) and all creditors identified pursuant to paragraph (b)(2)(E) of this rule.


(2) The proof of service shall indicate how the identity and address were determined for the recipient of service on behalf of the creditor whose claim is the subject of the motion.


(d) TIMING. The hearing on the motion must be scheduled to be held contemporaneously with the hearing on confirmation of the debtor's plan. The court may schedule an evidentiary hearing.


(e) ORDER. The order will determine the secured status of the creditor's claim pursuant to 11 U.S.C. 506.


(f) FUTURE RELIEF. If the court determines that the creditor's claim is unsecured in its entirety, the debtor may request supplemental relief after the debtor's completion of payments under the plan. The request must be made by motion and include a proposed order. The order must provide that: (i) the creditor was properly served and received adequate notice of the motion to value; (ii) the court entered an order on __________, determining that the creditor's claim was wholly unsecured pursuant to 11 U.S.C. 506; (iii) the actual date the debtor completed payments under the plan; (iv) the legal description of the property; (v) the creditor's lien is released from the property effective as of the debtor's completion of payments under the plan; and (vi) fully recite the recording information applicable to the original mortgage and any amendments or assignments related to the creditor's lien.


RULE 3015-1. CHAPTERS 12 AND 13 - PLANS


(a) A chapter 13 plan shall conform to Local Form 3015-1. The plan shall be dated and signed by the debtor in accordance with Local Rule 9011-4(d).


(b) The clerk shall transmit the plan in a chapter 12 or 13 case to the appropriate parties.



RULE 3015-2. CHAPTER 13 - MODIFICATION OF PLANS


(a) MODIFICATION BEFORE CONFIRMATION. The debtor in a chapter 13 case may file a modified plan anytime before confirmation. The plan shall conform to Local Form 3015-1 except that it shall be labeled "Modified Plan." The debtor shall serve notice of the modification together with the modified plan on the trustee, the United States Trustee, and each creditor whose treatment is adversely changed by the modification and who has not accepted the change in writing. The notice shall be delivered not later than seven days or mailed not later than ten days before the confirmation hearing. The notice shall indicate the date, time and place of the confirmation hearing. Notwithstanding the provisions of Local Rule 3015-3, any objection to a modified plan filed preconfirmation shall be delivered not later than 24 hours prior to the time and date set for the confirmation hearing or mailed not later than three days prior to the date set for the confirmation hearing.


(b) POSTCONFIRMATION MODIFICATION. Local Rule 3019-2 applies to postconfirmation modification of a Chapter 13 plan. Any motion seeking a reduction of the debtor’s chapter 13 plan payment shall include a verified statement of the debtor’s current income and expenditures, using the format of Schedules I and J.


Fed. R. Bankr. P. Reference 3019.



RULE 3015-3. CHAPTERS 12 AND 13 - CONFIRMATION (OBJECTIONS)


Local Rules 3020-1 and 3020-3 apply to objections to confirmation of a Chapter 12 or 13 plan.



RULE 3016-1. CHAPTER 11 - PLAN (SIGNATURE)


Every proposed disclosure statement, approved disclosure statement, and plan shall be dated and signed by the proponent in accordance with Local Rule 9011-4(d).


Fed. R. Bankr. P. Reference 3015.



RULE 3017-1. DISCLOSURE STATEMENT - APPROVAL


(a) SERVICE OF PROPOSED DISCLOSURE STATEMENTS AND PLANS. Within seven days after a plan and proposed disclosure statement have been filed in a chapter 11 case, the proponent shall serve both documents on all entities specified in Local Rule 9013-3(a)(2) and file proof of such service.


(b) SERVICE OF APPROVED DISCLOSURE STATEMENTS AND PLANS. Unless ordered otherwise, in a chapter 11 case the proponent shall serve the following documents on all creditors, equity security holders and other parties in interest as provided in Local Rule 2002-1(b) and file proof of such service: 1) the order for a confirmation hearing; 2) the approved disclosure statement; 3) the plan; and 4) the approved official form ballot.


(c) OBJECTIONS TO DISCLOSURE STATEMENTS. Local Rule 3020-1 applies to objections to proposed disclosure statements.


Fed. R. Bankr. P. Reference 3020.



RULE 3017.1-1. SMALL BUSINESS DEBTOR DISCLOSURE STATEMENT-

                          CONDITIONAL AND FINAL APPROVAL


(a) FILING OF APPLICATION, PLAN AND PROPOSED DISCLOSURE STATEMENT. If the debtor has elected treatment as a small business, the proponent of the plan shall file a plan and proposed disclosure statement together with an application requesting conditional approval of the disclosure statement within the time period specified in §1121(e) of the Code. The plan and proposed disclosure statement, together with the application, shall be served on the debtor, the United States Trustee and, if one has been appointed, on the committee of unsecured creditors.


(b) REVIEW AND COMMENT BY UNITED STATES TRUSTEE. The United States Trustee and any Committee shall serve and file objections, if any, to the terms of the proposed disclosure statement within seven days of service of the proposed disclosure statement and plan on the United States Trustee or Committee. If no timely objections are served and filed, then the court may enter an order conditionally approving the disclosure statement. If objections are timely filed, the court may schedule a hearing on the objections or may enter an order granting or denying conditional approval of the disclosure statement without a hearing.


(c) SERVICE OF PLANS AND CONDITIONALLY APPROVED DISCLOSURE STATEMENTS. If the court conditionally approves the disclosure statement and unless the court orders otherwise, the proponent shall serve the plan and conditionally approved disclosure statement, an approved ballot to accept or reject the plan, and the order conditionally approving the disclosure statement on all creditors, equity security holders, and other parties in interest as provided in Local Rule 2002-1(b), and file proof of such service with the clerk.


(d) OBJECTIONS TO DISCLOSURE STATEMENTS. Local Rule 3020-1 applies to objections to conditionally approved disclosure statements and objections to confirmation of the plan filed in a case where the debtor has elected treatment as a small business



RULE 3019-1. CHAPTERS 11 AND 12 - PRECONFIRMATION MODIFICATION


The proponent of a plan in a chapter 11 or 12 case may file a modified plan anytime before confirmation. Federal Rule of Bankruptcy Procedure 3019 governs acceptances of modified plans.



RULE 3019-2. CHAPTER 11 - POSTCONFIRMATION MODIFICATION


A request to confirm a modified plan after confirmation shall be made by motion. The movant shall serve the motion on each entity listed in the matrix referred to in Local Rule 1007-2.



RULE 3020-1. CHAPTER 11 - CONFIRMATION (OBJECTIONS)


(a) FORM. Local Rule 9013-2(b)-(e) applies to objections to confirmation of chapter 11 plans.


(b) SERVICE. Unless ordered otherwise, the objector shall serve the objection on 1) the attorney for the proponent; 2) the attorney for the debtor; 3) the trustee or examiner; 4) the attorneys for all committees; and 5) the United States Trustee.


(c) TIME FOR SERVICE AND FILING. The objection shall be delivered not later than seven days or mailed not later than ten days before the hearing date.


Fed. R. Bankr. P. Reference 3017.



RULE 3020-2. CHAPTER 11 - CONFIRMATION (REPORTS ON BALLOTING)


In a chapter 11 case, the attorneys for the proponent and the committee of unsecured creditors shall count the ballots and file a report of the tabulation not later than 24 hours before the confirmation hearing. The report shall conform substantially to Local Form 3020-2.


Fed. R. Bankr. P. Reference 3018.



RULE 3020-3. CHAPTER 11 - CONFIRMATION (HEARINGS)


In the event an objection to confirmation is filed, the court may treat the date set for hearing on confirmation as either a preliminary or final hearing.



RULE 3021-1. ADEQUATE PROTECTION PAYMENTS IN CHAPTER 13 CASES


(a) PAYMENTS THROUGH THE TRUSTEE. In a chapter 13 case, adequate protection payments shall be paid through the trustee, unless the plan provides that such payments shall be paid by the debtor directly to the creditor.


(b) PAYMENTS BY THE TRUSTEE. The trustee shall pay §1326(a)(1)(C) payments set forth in the proposed plan from available funds. The trustee shall not make payments to a creditor until a proof of claim is filed. If the case is dismissed or converted prior to confirmation, the trustee shall pay the creditor any payments due from funds collected by the trustee under §1326(a)(1)(C).