Local Rule L.B.R. 9019-1: Motions to Compromise

L.B.R. 9019-1 Motions to Compromise.

(a) Filing.

(1) A motion to compromise an adversary proceeding shall be filed in the main bankruptcy case, not in the adversary proceeding. It shall bear the style of the main bankruptcy case, not the adversary proceeding.

(2) A motion to compromise an adversary proceeding shall, within the body of the motion, set out the style and number of the adversary proceeding.

(3) No motion to compromise an adversary proceeding need be filed in order to settle a proceeding filed pursuant to 11 U.S.C. §§ 523 or 524.

(b) Notice.

(1) Motions to compromise adversary proceedings are governed by Local Bankruptcy Rule 9007-1, and may include negative notice language.

(2) Motions to compromise and motions that contemplate a dismissal of an objection to discharge under 11 U.S.C. § 727 shall identify the cause of action and any consideration paid or agreed to be paid and shall be served on all creditors and parties in interest.

(c) Order and Judgment.

A motion to compromise an adversary proceeding shall be accompanied by two forms of proposed order. The first form of proposed order shall be one to approve the motion to compromise, bearing the style of the main bankruptcy case. The second form of proposed order shall be a proposed agreed judgment or order of dismissal, bearing the style of the adversary proceeding, for entry in the underlying adversary proceeding.