What is a “confirmation hearing” in a Chapter 11 bankruptcy?

A confirmation hearing is a court hearing that takes place during a Chapter 11 Bankruptcy case in North Carolina. It is when the bankruptcy court reviews the proposed bankruptcy plan that was created by the debtor, or person filing for bankruptcy. The bankruptcy court also considers any objections or proposed changes that any of the creditors may raise during the hearing. The goal of the confirmation hearing is to make sure that all creditors are treated fairly and that the proposed bankruptcy plan meets all of the criteria outlined in the Bankruptcy Code. At the confirmation hearing, the bankruptcy judge will look at the proposed plan and determine if it is feasible and in the best interest of the creditors. This includes examining the amount of payments that the debtor will be required to make and making sure that the proposed payment plan does not discriminate against any of the creditors. The judge will also examine the debtor’s ability to pay the amount needed to the creditors and determine whether or not the proposed bankruptcy plan is the best option for the creditors. Once the confirmation hearing is complete, the bankruptcy judge will either approve or deny the proposed bankruptcy plan. If approved, the plan will go into effect and the creditors may receive their payments. If denied, the debtor may be required to revise the plan and submit a new proposed plan to the bankruptcy court.

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What is a “confirmation hearing” in a Chapter 11 bankruptcy?

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