Local Rule 1015-1: Joint Administration, Substantive Consolidation, and Bifurcation
Bankr. W.D.N.C. — General rule
Local Rule 1015-1 Joint Administration, Substantive Consolidation, and Bifurcation
(a) Joint Administration:
(1) Joint cases filed pursuant to 11 U.S.C. § 302(a) shall be combined for administrative purposes only.
(2) The bankruptcy estates of related cases may be jointly administered only by order of the court after notice and a hearing. Motions should be filed in each case that is to be jointly administered. The motions and orders should indicate which case is to be the lead case and how the jointly-administered cases will be captioned.
(b) Substantive Consolidation. The bankruptcy estates of joint or related cases may be substantively consolidated only by order of the court after notice and a hearing.
(c) Motion to Bifurcate a Jointly-Administered Chapter 13 Case. A debtor seeking to bifurcate a jointly-administered case, including joint cases, when both debtors are to remain in Chapter 13 shall file a motion to bifurcate. The motion shall list all of the claims in the jointly-administered case, including attorney's fees, and describe the intended treatment of each claim by the bifurcating debtor. The motion shall be served on all parties in interest and may be filed on a no protest basis pursuant to Local Rule 9013-1(e).
(d) Bifurcation and Conversion of One Debtor. A motion to bifurcate is not required when an individual debtor in a jointly-administered case seeks conversion to a case under a different chapter. The debtor may convert the case by filing the appropriate notice of conversion or obtaining an order upon motion and paying the appropriate fee to bifurcate and convert the case.
(e) Filing Fees.
(1) Upon the bifurcation of a jointly-administered case, the appropriate fee shall be paid pursuant to 28 U.S.C. § 1930.
(2) When a debtor seeks both to bifurcate and to convert a case, the debtor shall pay the appropriate conversion fee in addition to the fee to bifurcate the case.