Hardship Discharge - Chapter 12

Rev. 12/01/2015

 

If payments under a plan are not completed due to circumstances for which the debtor "should not justly be held accountable" 11 U.S.C. § 1228(b)(1), and other statutory criteria have been met, a debtor may be excused from completing payments under a plan of reorganization.

 

A discharge granted under section 11 U.S.C. § 1228(c) is often referred to as a "hardship discharge".

 

Docket Event:

[Bankruptcy> Motions/Applications> Hardship Discharge]

 

Requirements:

EE Cases

KMS Cases

NPO Cases

Motion with Certificate of Service

Motion with Certificate of Service

Motion with Certificate of Service

Set for Hearing

Set for Hearing

Set for Hearing

Proposed Order

Proposed Order

Proposed Order

 

No objections

 - prepare order granting motion.

 - after entering order granting motion - issue hardship discharge.

 

Docket Event:

 

[Bankruptcy> Orders/Opinions>Other Orders> Discharging Debtor(s) 12 before plan completion]

 

Disposition method: Hardship Discharge

 

Discharge Forms:
 

  • debtor or both debtors in joint case Form - 3180FH - Ch 12 Hardship Discharge

  • debtor 1 in joint case: Form - 3180FHJ1 - Ch 12 Hardship Disch - Db 1

  • debtor 2 in joint case: Form - 3180FHJ2 - Ch 12 Hardship Disch - Db 2

 

After the trustee files the Chapter 12 final report and account, process closing order.   See Closing Chapter 12