Bankruptcy Forms: Filing Bankruptcy Chapter 7 Bankruptcy Software Chapter 13

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TITLE 11–BANKRUPTCY

CHAPTER 13– ADJUSTMENT OF DEBTS OF AN INDIVIDUAL WITH REGULAR INCOME

Sub Chapter – Officers, Administration and the Estate

Sec. 1307. Conversion or dismissal

 (a) The debtor may convert a case under this chapter to a case under 
chapter 7 of this title at any time. Any waiver of the right to convert 
under this subsection is unenforceable.
    (b) On request of the debtor at any time, if the case has not been 
converted under section 706, 1112, or 1208 of this title, the court 
shall dismiss a case under this chapter. Any waiver of the right to 
dismiss under this subsection is unenforceable.
    (c) Except as provided in subsection (e) of this section, on request 
of a party in interest or the United States trustee and after notice and 
a hearing, the court may convert a case under this chapter to a case 
under chapter 7 of this title, or may dismiss a case under this chapter, 
whichever is in the best interests of creditors and the estate, for 
cause, including--
        (1) unreasonable delay by the debtor that is prejudicial to 
    creditors;
        (2) nonpayment of any fees and charges required under chapter 
    123 of title 28;
        (3) failure to file a plan timely under section 1321 of this 
    title;
        (4) failure to commence making timely payments under section 
    1326 of this title;
        (5) denial of confirmation of a plan under section 1325 of this 
    title and denial of a request made for additional time for filing 
    another plan or a modification of a plan;
        (6) material default by the debtor with respect to a term of a 
    confirmed plan;
        (7) revocation of the order of confirmation under section 1330 
    of this title, and denial of confirmation of a modified plan under 
    section 1329 of this title;
        (8) termination of a confirmed plan by reason of the occurrence 
    of a condition specified in the plan other than completion of 
    payments under the plan;
        (9) only on request of the United States trustee, failure of the 
    debtor to file, within fifteen days, or such additional time as the 
    court may allow, after the filing of the petition commencing such 
    case, the information required by paragraph (1) of section 521; or
        (10) only on request of the United States trustee, failure to 
    timely file the information required by paragraph (2) of section 
    521.

    (d) Except as provided in subsection (e) of this section, at any 
time before the confirmation of a plan under section 1325 of this title, 
on request of a party in interest or the United States trustee and after 
notice and a hearing, the court may convert a case under this chapter to 
a case under chapter 11 or 12 of this title.
    (e) The court may not convert a case under this chapter to a case 
under chapter 7, 11, or 12 of this title if the debtor is a farmer, 
unless the debtor requests such conversion.
    (f) Notwithstanding any other provision of this section, a case may 
not be converted to a case under another chapter of this title unless 
the debtor may be a debtor under such chapter.

(Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2647; Pub. L. 98-353, title III, 
Secs. 315, 527, July 10, 1984, 98 Stat. 356, 389; Pub. L. 99-554, title 
II, Secs. 229, 257(v), Oct. 27, 1986, 100 Stat. 3103, 3116.)


                      Historical and Revision Notes

                         legislative statements

    Section 1307(a) is derived from the Senate amendment in preference 
to a comparable provision contained in the House bill.


                        senate report no. 95-989

    Subsections (a) and (b) confirm, without qualification, the rights 
of a chapter 13 debtor to convert the case to a liquidating bankruptcy 
case under chapter 7 of title 11, at any time, or to have the chapter 13 
case dismissed. Waiver of any such right is unenforceable. Subsection 
(c) specifies various conditions for the exercise of the power of the 
court to convert a chapter 13 case to one under chapter 7 or to dismiss 
the case. Subsection (d) deals with the conversion of a chapter 13 case 
to one under chapter 11. Subsection (e) prohibits conversion of the 
chapter 13 case filed by a farmer to chapter 7 or 11 except at the 
request of the debtor. No case is to be converted from chapter 13 to any 
other chapter, unless the debtor is an eligible debtor under the new 
chapter.


                         house report no. 95-595

    Subsection (f) reinforces section 109 by prohibiting conversion to a 
chapter under which the debtor is not eligible to proceed.


                               Amendments

    1986--Subsec. (b). Pub. L. 99-554, Sec. 257(v)(1), inserted 
reference to section 1208 of this title.
    Subsec. (c). Pub. L. 99-554, Sec. 229(1)(A), inserted ``or the 
United States trustee'' after ``party in interest'' in provisions 
preceding par. (1).
    Subsec. (c)(9), (10). Pub. L. 99-554, Sec. 229(1)(B)-(D), added 
pars. (9) and (10).
    Subsec. (d). Pub. L. 99-554, Sec. 257(v)(2), inserted reference to 
chapter 12.
    Pub. L. 99-554, Sec. 229(2), inserted ``or the United States 
trustee'' after ``party in interest''.
    Subsec. (e). Pub. L. 99-554, Sec. 257(v)(3), inserted reference to 
chapter 12.
    1984--Subsec. (b). Pub. L. 98-353, Sec. 527(a), inserted a comma 
after ``time''.
    Subsec. (c)(4). Pub. L. 98-353, Sec. 315(2), added par. (4). Former 
par. (4) redesignated (5).
    Subsec. (c)(5). Pub. L. 98-353, Secs. 315(1), 527(b)(1), 
redesignated former par. (4) as (5) and inserted ``a request made for'' 
before ``additional''. Former par. (5) redesignated (6).
    Subsec. (c)(6). Pub. L. 98-353, Sec. 315(1), redesignated former 
par. (5) as (6). Former par. (6) redesignated (7).
    Subsec. (c)(7). Pub. L. 98-353, Secs. 315(1), 527(b)(2), 
redesignated former par. (6) as (7) and substituted ``or'' for ``and''. 
Former par. (7) redesignated (8).
    Subsec. (c)(8). Pub. L. 98-353, Secs. 315(1), 527(b)(3), 
redesignated former par. (7) as (8) and inserted ``other than completion 
of payments under the plan'' after ``in the plan''.


                    Effective Date of 1986 Amendment

    Effective date and applicability of amendment by section 229 of Pub. 
L. 99-554 dependent upon the judicial district involved, see section 
302(d), (e) of Pub. L. 99-554, set out as a note under section 581 of 
Title 28, Judiciary and Judicial Procedure.
    Amendment by section 257 of Pub. L. 99-554 effective 30 days after 
Oct. 27, 1986, but not applicable to cases commenced under this title 
before that date, see section 302(a), (c)(1) of Pub. L. 99-554.


                    Effective Date of 1984 Amendment

    Amendment by Pub. L. 98-353 effective with respect to cases filed 90 
days after July 10, 1984, see section 552(a) of Pub. L. 98-353, set out 
as a note under section 101 of this title.

                  Section Referred to in Other Sections

    This section is referred to in sections 348, 365, 706, 726, 1330 of 
this title.


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