Amendment to Bankruptcy Rule 3002
Certain amendments to the Federal Rules of Bankruptcy Procedure (the “Bankruptcy Rules”) will become effective in all cases commencing after December 1, 2017.1
The amendment to Bankruptcy Rule 3002 is significant. As explained in detail below, the amendment does the following:
- It shortens the deadline to file a proof of claim to 70 days after the bankruptcy filing; and
- It requires secured claims in cases pending under Chapter 7, 12 or 13 to file a proof of claim.
Shortened Time Period
Prior to the amendment, Bankruptcy Rule 3002(a) provided that proofs of claim must be filed within 90 days after the first date set for the section 341 meeting. Three hundred forty-one meetings are typically set three to four weeks after the petition date. The amended Bankruptcy Rule 3002(a) provides:
(c) TIME FOR FILING. In a voluntary Chapter 7 case, Chapter 12 case or Chapter 13 case, a proof of claim is timely filed if it is filed not later than 70 days after the order for relief under that chapter or the date of the order of conversion to a case under Chapter 12 or Chapter 13.
Thus, by fixing the triggering event on the day the bankruptcy was filed rather than the 341 meeting, the new Bankruptcy Rule 3002 shortens the time period to file a proof of claim three to four weeks.
Secured Claims Must Be Filed
In its previous form, Bankruptcy Rule 3002(a) stated that “[a]n unsecured creditor or an equity security holder must file a proof of claim or interest for the claim or interest to be allowed...” Notably, secured creditors were left out from the rule. As a result, courts reached different opinions on whether secured claimants needed to file claims by the deadline in Bankruptcy Rule 3002(c). The amendment eliminates this confusion by including “secured creditor” in Bankruptcy Rule 3002(a).
The amendment to Bankruptcy Rule 3002 is important for all creditors. Secured creditors are now required to file claims in Chapter 7, 12 and 13 cases, and the proof of claim deadline is shortened considerably.