CHAPTER 3CASE ADMINISTRATION
Sub Chapter III Administration
Sec. 342. Notice
(a) There shall be given such notice as is appropriate, including
notice to any holder of a community claim, of an order for relief in a
case under this title.
(b) Prior to the commencement of a case under this title by an
individual whose debts are primarily consumer debts, the clerk shall
give written notice to such individual that indicates each chapter of
this title under which such individual may proceed.
(c) If notice is required to be given by the debtor to a creditor
under this title, any rule, any applicable law, or any order of the
court, such notice shall contain the name, address, and taxpayer
identification number of the debtor, but the failure of such notice to
contain such information shall not invalidate the legal effect of such
(Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2565; Pub. L. 98-353, title III,
Secs. 302, 435, July 10, 1984, 98 Stat. 352, 370; Pub. L. 103-394, title
II, Sec. 225, Oct. 22, 1994, 108 Stat. 4131.)
Historical and Revision Notes
Section 342(b) and (c) of the Senate amendment are adopted in
principle but moved to section 549(c), in lieu of section 342(b) of H.R.
8200 as passed by the House.
Section 342(c) of H.R. 8200 as passed by the House is deleted as a
matter to be left to the Rules of Bankruptcy Procedure.
senate report no. 95-989
Subsection (a) of section 342 requires the clerk of the bankruptcy
court to give notice of the order for relief. The rules will prescribe
to whom the notice should be sent and in what manner notice will be
given. The rules already prescribe such things, and they will continue
to govern unless changed as provided in section 404(a) of the bill. Due
process will certainly require notice to all creditors and equity
security holders. State and Federal governmental representatives
responsible for collecting taxes will also receive notice. In cases
where the debtor is subject to regulation, the regulatory agency with
jurisdiction will receive notice. In order to insure maximum notice to
all parties in interest, the Rules will include notice by publication in
appropriate cases and for appropriate issues. Other notices will be
given as appropriate.
Subsections (b) and (c) [enacted as section 549(c)] are derived from
section 21g of the Bankruptcy Act [section 44(g) of former title 11].
They specify that the trustee may file notice of the commencement of the
case in land recording offices in order to give notice of the pendency
of the case to potential transferees of the debtor's real property. Such
filing is unnecessary in the county in which the bankruptcy case is
commenced. If notice is properly filed, a subsequent purchaser of the
property will not be a bona fide purchaser. Otherwise, a purchaser,
including a purchaser at a judicial sale, that has no knowledge of the
case, is not prevented from obtaining the status of a bona fide
purchaser by the mere commencement of the case. ``County'' is defined in
title 1 of the United States Code to include other political
subdivisions where counties are not used.
1994--Subsec. (c). Pub. L. 103-394 added subsec. (c).
1984--Subsec. (a). Pub. L. 98-353, Sec. 435, amended subsec. (a)
generally, inserting requirement respecting notice to any holder of a
Pub. L. 98-353, Sec. 302(1), designated existing provisions as
Subsec. (b). Pub. L. 98-353, Sec. 302(2), added subsec. (b).
Effective Date of 1994 Amendment
Amendment by Pub. L. 103-394 effective Oct. 22, 1994, and not
applicable with respect to cases commenced under this title before Oct.
22, 1994, see section 702 of Pub. L. 103-394, set out as a note under
section 101 of this title.
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, 741, 743, 762, 765 of