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

In Tennessee, the debtor typically has at least 120 days from the date of the filing of the bankruptcy petition to confirm a plan of reorganization in a Chapter 11 bankruptcy. Any debtor that does not have a plan of reorganization confirmed within 120 days of the filing may be subject to dismissal by the court if a motion is made by the debtor in possession, trustee or other party in interest. The debtor in possession, typically the debtor, must meet certain qualifications when confirming a plan of reorganization. These qualifications include, but are not limited to, ensuring that the plan of reorganization is in the best interests of the creditors as a whole, that the creditors are paid in accordance with the order of priority established in the Bankruptcy Code, that the plan of reorganization is feasible and that the best efforts have been made to maximize the value of all of the creditors’ claims. As such, confirming a plan of reorganization in a Chapter 11 bankruptcy can be a complex and time consuming process. The Tennessee Bankruptcy Court may also allow the debtor additional time, beyond the 120 day period, to confirm a plan of reorganization. This is done by granting the debtor additional time to cure any deficiencies in the plan or any other requirements related to the confirmation of a plan of reorganization. Overall, the amount of time it takes a debtor to confirm a plan of reorganization in a Chapter 11 bankruptcy in Tennessee depends on the complexity of the case, the amount of information needed to confirm the plan, and the amount of time the debtor needs to cure any deficiencies in the plan. Additionally, the court may grant the debtor additional time beyond the initial 120 days.

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

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