Legislation

Any reform of current chapter 11 practice must account for the prevailing criticism that fees and costs are too high, and do it in a way that focuses on aligning incentives with case efficiency. This panel of Commissioners will discuss recommended reforms that provide for more effective oversight, as well as alternative fee structures consistent with professionals’ ethical obligations under the Code of Professional Responsibility.

Secured Credit Under the Code and Commission Report

The Final Report of the Commission to Study the Reform of Chapter 11 proposes the most comprehensive modernization of restructuring law in a generation, including several recommendations affecting valuation methods, use of experts and disclosures by the reorganizing debtor. Hear a panel of commissioners and the Commission's reporter discuss the proposals and their impact on professionals.

Commission members will report on the Commission’s progress and final recommendations to Congress.

Judicial Debate RESOLVED: Bankruptcy Code section 307 and the corresponding Federal Rules of Bankruptcy Procedure should be amended to permit the Court to limit the role of the United States Trustee in corporate chapter 11 cases for cause upon motion of an Official Committee of Unsecured Creditors appointed in the case. Mitchell Ryan 203605, Moderator Rust Omni; Orange, Calif. Pro: Hon. Peter W. Bowie 184974 U.S. Bankruptcy Court (S.D. Cal.); San Diego Con: Hon. August B. Landis 108698 U.S. Bankruptcy Court (D. Nev.); Las Vegas Business Debate Resolved: Municipalities should not be permitted to modify pension benefits in chapter 9. Mitchell Ryan 203605,Moderator Rust Omni; Orange, Calif. Pro: Sharon L. Levine 104784 Lowenstein Sandler LLP; Roseland, N.J. Con: James H.M. Sprayregen 100999 Kirkland & Ellis LLP; Chicago Consumer Debate Resolved: Trustees should not be permitted to sell property where there is no equity for the estate. Mitchell Ryan 203605, Moderator Rust Omni; Orange, Calif. Pro: C.R. "Chip" Bowles, Jr. 103012 Bingham Greenebaum Doll LLP; Louisville, Ky. Con: Ford Elsaesser 105080 Elsaesser Jarzabek Anderson Elliott & Macdonald, Chtd.; Sandpoint, Idaho

ABI has embarked on a significant review of the Bankruptcy Code of 1978. It has been more than 30 years since the Code was enacted, and a consensus has emerged that the current law needs an overhaul. The world has changed, including the financial environment and the operation of the markets, and the Code even as amended was not designed to deal with many of these changes. The ABI Commission to Study the Reform of Chapter 11 will study and propose reforms to chapter 11 and related statutory provisions that will better balance the goals of effectuating the effective reorganization of business debtors, with the attendant preservation and expansion of jobs and the maximization and realization of asset values for all creditors and stakeholders. Presenters will outline the work that the Commission has conducted to date, its mission and its findings. Further discussion will map out a way forward and perhaps include some crystal ball work to see what reforms might — ahem — emerge from Congress.

This panel will discuss who can get paid, for what, and why.