As I recently reported on the National Bankruptcy Forum, attorneys registered for electronic filing in the U.S. Bankruptcy Court for the Eastern District of Michigan (which covers Detroit, Bay City, and Flint) recently received an e-mail containing a “Notice Regarding Adoption of Amended Local Bankruptcy Rules.” The amended Local Bankruptcy Rules are effective December 1, 2009.
The local rules have been amended to conform to amendments to the Federal Rules of Bankruptcy Procedure adopted by the United States Supreme Court on March 26, 2009, effective December 1, 2009. The amendments to the Federal Rules of Bankruptcy Procedure clarify the way time is calculated in the federal courts by adopting a “days are days” approach to counting time versus the prior practice of excluding intervening weekends and holidays from periods of less than eight days. The amended Federal Rules of Bankruptcy Procedure count intermediate weekends and holidays for all time periods. Further, the amended Federal Rules of Bankruptcy Procedure state deadlines that are less than 30 days in multiples of seven days. The amendments to the Federal Rules of Bankruptcy Procedure and a blacklined version of those amendments can be found here.
Other recent procedural changes in the Eastern District of Michigan include a September 29, 2009 “Notice Regarding Dismissal of Case for Failure to File Petition Pursuant To 11 U.S.C. § 301 (a).” 11 U.S.C. § 301(a) states that a “voluntary case under a chapter of this title is commenced by the filing with the bankruptcy court of a petition under such chapter by an entity that may be a debtor under such chapter.” The notice recently issued by the Court states: “Effective immediately, the Court will dismiss any electronically filed case in which the petition is not filed as the lead event. Pursuant to 11 U.S.C. § 301(a), a voluntary case is commenced by the filing of a petition. If the voluntary petition is not associated with the initial entry, no case exists, therefore, the filing will be dismissed.”
The Eastern District of Michigan also recently adopted a new form for reaffirmation agreements. The form is required for all reaffirmation agreements filed on or after December 1, 2009. Failure to file the reaffirmation agreement cover sheet with a reaffirmation agreement will result in a notice of deficiency from the Bankruptcy Court Clerk providing seven days within which to correct the deficiency. Failure to correct the deficiency may result in striking the reaffirmation agreement or the scheduling of a hearing by the Court.
Detroit bankruptcy lawyers must be aware of these notices as well as other local rules and practices in the Eastern District, while bankruptcy attorneys in other jurisdictions should review their local court rules for similar changes. The Eastern District of Michigan’s recent notices emphasize both the procedural complexity of bankruptcy cases and the need for competent counsel.
-Drew Broaddus