You are here

L.B.R. 4001-4. Continuance of Automatic Stay or Imposition of Stay

(a)  Continuance of Automatic Stay.  Motions to continue the automatic stay pursuant to 11 U.S.C. § 362(c)(3)(B) must:

(1)  Be filed with the petition or promptly thereafter in order to permit compliance with the statutory requirement that the Court complete the hearing and rule on the motion within 30 days after the filing of the later case;

(2)  State whether the presumption that the later case was filed not in good faith under 11 U.S.C. § 362(c)(3)(C) applies;

(3)  Explain why the later case is filed in good faith as to the creditors to be stayed, and specify whether the request extends to all creditors or only specified creditors;

(4)  Provide clear and convincing admissible evidence (through a verification of the debtor or affidavit(s)) as to the pertinent factual allegations and, if applicable, rebutting the presumption that the later case was filed not in good faith;

(5)  Unless otherwise ordered by the Court, provide at least 14 days’ notice of the objection date and hearing date to the applicable trustee, debtor, debtor’s attorney, and all affected creditors in accordance with L.B.R. 4001-1(a)(3) and 9013-1;

(6)  Be self-calendared on the assigned judge’s relief from stay hearing docket on a date that allows 14 days’ notice but is less than 30 days from the date of the order for relief; and

(7)  If seeking to continue the automatic stay with respect to certain property of the estate, be served pursuant to Fed. R. Bankr. P. 7004 and 11 U.S.C. § 342 as to any creditor who holds or asserts an interest in such property of the estate.

(b)  Imposition of Stay.  Motions to impose a stay pursuant to 11 U.S.C. § 362(c)(4)(B) must:

(1)  Be filed within 30 days after the filing of the later case;

(2)  State whether the presumption that the later case was filed not in good faith under 11 U.S.C. § 362(c)(4)(D) applies;

(3)  Explain why the later case is filed in good faith as to the creditors to be stayed, and specify whether the request extends to all creditors or only specified creditors;

(4)  Provide clear and convincing admissible evidence (through a verification of the debtor or affidavit(s)) as to the pertinent factual allegations and, if applicable, rebutting the presumption that the later case was filed not in good faith;

(5)  Unless otherwise ordered by the Court, provide at least 14 days’ notice of the objection date and hearing date to the applicable trustee, debtor, debtor’s attorney and all affected creditors in accordance with L.B.R. 4001-1(a)(3) and 9013-1;

(6)  Be self-calendared on the assigned judge’s relief from stay hearing docket on a date that allows 14 days’ notice; and

(7)  If seeking to impose a stay with respect to certain property of the estate, be served pursuant to Fed. R. Bankr. P. 7004 and 11 U.S.C. § 342 as to any creditor who holds or asserts an interest in such property of the estate.

(c)  Procedures.  Motions filed pursuant to this Rule are subject to the procedures in L.B.R. 4001-1(a)(1) Selection of Hearing Date, L.B.R. 4001-1(a)(3) Notice of Hearing and Time to Object, L.B.R. 4001-1(c) Procedures for Preliminary Hearing, and L.B.R. 4001-1(d) Telephonic Hearings.  Additionally, if no objections are filed, the movant must submit a Certificate of Non-contested Matter in accordance with L.B.R. 9013-1(c)(1).  If a Certificate of Non-contested Matter is filed, the Court may, in its discretion, vacate the hearing.

(d)  Forms.  Parties must file and serve a notice in substantial conformity with L.B.F. 4001-4.1 and submit a proposed form of order.

 

Commentary

Motions to continue the automatic stay under 11 U.S.C. § 362(c)(3)(B) may be summarily denied if they are not timely filed such that meaningful due process can be afforded and a hearing completed before the end of the 30 day period set forth in 11 U.S.C. § 362(c)(3)(B).