Bankruptcy
Overview
Bankruptcy laws enable debtors in financial distress to settle their obligations by petitioning a federal court and developing a plan to either reorganize the debt or divide available assets among creditors. Bankruptcy thus allows certain debtors to escape amassed debt, which may not be paid in full, providing them with a "fresh start" upon completion of the bankruptcy process. Bankruptcy also creates an avenue for creditors to fairly and equitably share in the available assets of the debtor. Liquidation may be the only choice for a farmer too deeply in debt to recover, while reorganization may enable farmers to keep their land. Municipal and business bankruptcies may also impact agriculture enterprises. Each type of bankruptcy proceeding has a potential impact on farmers and agriculture as a whole.
Read the full overview
Note: Recently added resources are posted at the top of the applicable sections.
Major Statutes
United States Bankruptcy Code, 11 U.S.C. §§ 101-1330
Bankruptcy Abuse Prevention and Consumer Protection Act of 2005, Pub.L.No. 109-8, 119 Stat. 223
(codified in scattered sections of 11 U.S.C.)
Regulations
Federal Rules of Bankruptcy Procedure, 1001-9036
Federal Register Rules Open for Comment
Center published Federal Register Digest
Case Law
Note: Recently summarized cases are listed and linked in Recent Postings.
Case Law Index for Agricultural Bankruptcy
Center Research Publications
Bankruptcy Reform and Family Farmers: Correcting the Disposable Income Problem (Schneider, 2006)
2005 Commercial Law Update (Meyer, 2006)
Are You a Debt Relief Agency? You Might Be Surprised and You Should Be Concerned (Schneider, 2006)
An Introduction to Chapter 12 Bankruptcy: Restructuring the Family Farm (Schneider)
Bankruptcy Reform: Changes to Chapter 12 - Adjustment of Debts of a Family Farmer (Schneider, 2005)
Bankruptcy Reform and Family Farmers (Schneider, 2005)
Determining the Proper "Cramdown" Rate of Interest Post-Till v. SCS Credit Corp. (Pittman, 2004)
Agricultural Zoning, Bankruptcy, and the Rural Homestead (Laurence, 2003)
Husband and Wife Farmers in Ag Bankruptcies: "Tools of the Trade" Exemption (Pittman, 2002)
Statutory Ag Liens Under Revised Article 9 (Schneider, 2002)
Congressional Research Service Reports
CRS Subject(s):
Bankruptcy
Reference Resources
USDA
Farmer Bankruptcies and Farm Exits in the United States, 1899-2002 (Stam, Economic Research Service - ERS, 2004)
Other Congressional Resources
Reports on Farm Bankruptcy (Government Accountability Office)
Other Federal Resources
U. S. Bankruptcy Courts (U.S. Courts)
U. S. Trustee Program (Department of Justice)
Family Farmer or Family Fisherman Bankruptcy - Chapter 12 (U.S. Courts)
Publications
Farmer's Guide to Disaster Assistance (FLAG, 2008)
Farm Bankruptcy (U. MO, Matthews)
Chapter 12 Reorganizations (U. MN Ext., Kunkel)
Overcoming Farm Financial Distress: Strategies and FAQs (NC St. U. Ext., Feitshans)
Additional Resources
American Bankruptcy Institute (ABI)
