United States Bankruptcy Courts legislation
United States Bankruptcy Courts are Article I federal courts that have subject-matter jurisdiction over bankruptcy cases. This page highlights the creation of these courts and legislation which has led to changes throughout history.
History of the bankruptcy courts
- 2005: Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 passed. It revised how individuals file for personal bankruptcy.
- 1994: Bankruptcy Reform Act of 1994 created to improve efficiency in bankruptcy proceedings.
- 1984: Bankruptcy Amendment Act of 1984 reduced authority of bankruptcy courts, following a 1983 ruling by the Supreme Court of the United States. This act changed the method of appointment and clarified the position of bankruptcy judges.
- 1980: Bankruptcy Tax Act of 1980 created to cover tax-related issues left out of 1978 Act.
- 1978: Bankruptcy Reform Act of 1978 created. This law still serves as the governing legislation for the U.S. bankruptcy courts.
- 1973: Position of bankruptcy judge was created.
- 1946: Referees receive fixed salary.
- 1938: The Chandler Act of 1938 was created in response to Great Depression. It also enhanced role of referees.
- 1898: Bankruptcy Act of 1898 created. It established "referees" to act as administrator in bankruptcy cases.
- 1878: Law repealed by Congress.
- 1867: Third bankruptcy law created in aftermath of Civil War. This was the first law to include protection for corporations.
- 1843: Law repealed by Congress.
- 1841: Second bankruptcy law created in response to the panic of 1837.
- 1803: Law repealed by Congress.
- 1800: First bankruptcy law created as a result of land speculation.[1][2]
Note: This list is a history of bankruptcy courts in the United States, not bankruptcy law. For a more thorough examination of bankruptcy law, see: BankruptcyData.com, "A Brief History of Bankruptcy".
Bankruptcy Reform Act of 1978
This federal legislation established a United States Bankruptcy Court in each federal judicial district. It also revised the federal laws of bankruptcy.[2] This Act established Chapter 11, for business bankruptcy, and Chapter 13, for personal bankruptcy.[1]
The excerpted legislation can be found at the Federal Judicial Center, Establishment of the U.S. Bankruptcy Courts.
Bankruptcy Amendment Act of 1984
This Act re-evaluated aspects of bankruptcy judgeships following the Supreme Court decision Northern Pipeline Construction Co. v. Marathon Pipe Line Co. in 1982. In that decision, the court found that bankruptcy judges lacked Article III status and did not have authority over bankruptcy decisions as judges. In response, the Act of 1984 made the Circuit Court of Appeals responsible for the appointment of judges and declared that bankruptcy judges are "judicial officers of the United States district court."[3]
Bankruptcy Reform Act of 1994
The Bankruptcy Reform Act of 1994 was signed into law by President Bill Clinton. The goal of the legislation was to improve the efficiency of bankruptcy proceedings and also to create a National Bankruptcy Commission to review federal bankruptcy law.[1]
The full legislation can be found at BankruptcyLawReview.com, Statutes: Bankruptcy Reform Act of 1994.
Bankruptcy Reform Act of 2005
The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 was signed into law by President George W. Bush. This law primarily relates to consumer bankruptcy filings. It was widely seen as making it more difficult for individuals to file for Chapter 7 bankruptcy, steering them toward Chapter 11. It also mandated that individuals participate in credit counseling and personal financial management education after filing.[1]
The full legislation can be found at BankruptcyLawReview.com, Bankruptcy Reform Act of 2005.
See also
External links
- United States Courts, Bankruptcy
- Federal Judicial Center, Bankruptcy Judgeships
- United States Courts, Bankruptcy Basics
Footnotes
