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A bill to amend title 11, United States Code, to make the filing of a petition for relief under chapter 11 that is objectively futile or in subjective bad faith a cause for dismissal of the case, and for other purposes.

7/24/2024, 10:56 AM

Summary of Bill S 4746

Bill 118 s 4746 aims to amend title 11 of the United States Code, specifically focusing on the filing of a petition for relief under chapter 11. The bill proposes that if a petition for relief under chapter 11 is deemed objectively futile or filed in subjective bad faith, it can be grounds for the dismissal of the case. This means that if a company or individual files for bankruptcy under chapter 11 without a legitimate reason or with malicious intent, the court has the authority to dismiss the case.

The purpose of this bill is to prevent abuse of the bankruptcy system and ensure that filings are made in good faith and with a genuine need for relief. By holding filers accountable for their actions, the bill aims to streamline the bankruptcy process and prevent unnecessary delays and costs.

Overall, Bill 118 s 4746 seeks to promote fairness and integrity in the bankruptcy system by discouraging frivolous or malicious filings under chapter 11. It is designed to protect the interests of creditors and ensure that the bankruptcy process is used appropriately and responsibly.

Current Status of Bill S 4746

Bill S 4746 is currently in the status of Bill Introduced since July 23, 2024. Bill S 4746 was introduced during Congress 118 and was introduced to the Senate on July 23, 2024.  Bill S 4746's most recent activity was Read twice and referred to the Committee on the Judiciary. as of July 23, 2024

Bipartisan Support of Bill S 4746

Total Number of Sponsors
1
Democrat Sponsors
1
Republican Sponsors
0
Unaffiliated Sponsors
0
Total Number of Cosponsors
4
Democrat Cosponsors
2
Republican Cosponsors
2
Unaffiliated Cosponsors
0

Policy Area and Potential Impact of Bill S 4746

Primary Policy Focus

Alternate Title(s) of Bill S 4746

A bill to amend title 11, United States Code, to make the filing of a petition for relief under chapter 11 that is objectively futile or in subjective bad faith a cause for dismissal of the case, and for other purposes.
A bill to amend title 11, United States Code, to make the filing of a petition for relief under chapter 11 that is objectively futile or in subjective bad faith a cause for dismissal of the case, and for other purposes.

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