Local Rule LR 9013-4: Motions to Convert or Dismiss a Chapter 11 Case Under 11 U.S.C. § 1112(b)

LR 9013-4 Motions to Convert or Dismiss a Chapter 11 Case Under 11 U.S.C. § 1112(b)

(a) Movant must obtain a hearing date before filing the motion. Parties moving under 11 U.S.C. § 1112(b) to convert or dismiss a chapter 11 case must obtain a hearing date before filing the motion.

(b) Notice of the hearing and objection period. Unless the court orders otherwise, a party moving to convert or dismiss a chapter 11 case must provide the debtor, all creditors, the trustee, and the United States trustee with notice that:

(1) Any objection to the motion must be filed not later than 21 days after service of the notice; and

(2) If a party files a timely objection, the court will hear the motion on the date obtained under subsection (a).

(c) Motion must be filed and served within 24 hours of obtaining a hearing date. A party filing a motion under 11 U.S.C. § 1112(b) must file the motion and serve the notice as provided in subsection (b) of this Local Rule no more than 24 hours after obtaining a hearing date in accordance with subsection (a) of this Local Rule to ensure that interested parties receive 21 days' notice, as required by Fed. R. Bankr. P. 2002(a)(4), before the court is required to commence the hearing under § 1112(b)(3). A party's failure to comply with this Local Rule is sufficient grounds on which to deny a motion under § 1112(b) to convert or dismiss.