How long does a debtor have to confirm a plan in a Chapter 11 bankruptcy?

In a Chapter 11 Bankruptcy in California, a debtor usually has six months from the date of filing to confirm a plan. Within that six month period, the debtor will need to complete certain steps such as filing a disclosure statement, attending meetings with creditors and the US trustee, submitting financial reports, and negotiating a plan with creditors. If the debtor is unable to confirm a plan within this six month period, the bankruptcy court can extend that period for up to 18 months. However, it is important to note that the debtor must be actively working with the bankruptcy court to confirm a plan. This means that the debtor must demonstrate an effort to negotiate with creditors, make required payments, submit the proper paperwork, and attend required meetings. If the debtor fails to do so, then the bankruptcy court may dismiss the case before a plan can be confirmed. It is important to note that the creditors in the case have a large influence over whether a plan is confirmed. They have the right to vote on the plan and can reject it if they have a problem with it. Furthermore, the court itself can reject the plan if it does not meet all of the legal requirements. Therefore, it is important for the debtor to work diligently with creditors and the bankruptcy court to ensure the plan is confirmed in the allotted time frame.

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How long does a debtor have to confirm a plan in a Chapter 11 bankruptcy?

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