LBR 3017-2. CHAPTER 11 DISCLOSURE STATEMENT – APPROVAL IN SMALL BUSINESS CASE
LBR 3017-2. CHAPTER 11 DISCLOSURE STATEMENT – APPROVAL IN SMALL BUSINESS CASE(a) Conditional Approval of Disclosure Statement. The court may, on application of the plan proponent or sua sponte, conditionally grant a motion for approval of a disclosure statement filed in accordance with 11 U.S.C. § 1125(f) and FRBP 3016.
(b) Procedure for Requesting Conditional Approval of Disclosure Statement. The plan proponent may file an ex parte motion for conditional approval of the disclosure statement, asking that the hearing on the adequacy of the disclosure statement be combined with the hearing on confirmation. The motion must be supported by a declaration establishing grounds for conditional approval and accompanied by a proposed order consistent with FRBP 2002(b) that conditionally approves the disclosure statement and establishes:
(1) A date by which the holders of claims and interests may accept or reject the plan;
(2) A date for filing objections to the disclosure statement;
(3) A date for the hearing on final approval of the disclosure statement to be held if
a timely objection is filed; and
(4) A date for the hearing on confirmation of the plan.
(c) Objections and Hearing on Final Approval.
(1) The debtor must file and serve a notice of the dates set forth above, together with
a copy of the disclosure statement and plan, on all creditors and the United States
(2) Final approval of the disclosure statement is required only when a timely objection
is filed and served on the debtor, the trustee (if any), any committee appointed
under the Bankruptcy Code, counsel for any of the foregoing, and any other entity
as ordered by the court.