Announcements

The Bankruptcy Threshold Adjustment and Technical Corrections Act was signed into law by President Biden on Tuesday June 21. The Act amends Section 1182(1) of the Bankruptcy Code to include the increased aggregate debt limit of $7.5 million in Subchapter V’s definition of a “debtor” (with a two year sunset from enactment). In addition, the Corrections Act provides that an individual with regular income is eligible to be a debtor under Chapter 13 if the individual owes noncontingent, liquidated debts of less than $2.75 million as of the date of the petition (also with a two year sunset from enactment).

Chief Judge Thomas J. Catliota has informed the United States Court of Appeals for the Fourth Circuit that he will retire from his position as U.S. Bankruptcy Judge for the District of Maryland on October 3, 2022, after 16 and a half years of outstanding service to the Court.  The Court congratulates Chief Judge Catliota on the occasion of this announcement, and thanks him both for his long-term, dedicated service as one of the Court’s Judges and also for his extraordinary leadership as Chief Judge immediately following the sudden passing of beloved Judge Wendelin I. Lipp and then, just a couple of months thereafter, during the unprecedented Covid-19 pandemic.

Adjustments to the dollar amounts stated in various provisions of the Bankruptcy Code and one provision of Title 28 of the United States Code will go into effect on April 1, 2022, for cases filed on or after that date. The adjustments’ timing and calculation are codified in 11 U.S.C. § 104.  A chart showing the affected sections, including the current and adjusted dollar amounts, can be found here. Seven Official Bankruptcy Forms and two Director’s Forms also contain references to several of the affected dollar amounts. The revised forms, available here, will be effective on April 1, 2022 and will apply to cases filed on or after that date.

The Office of the United States Trustee has announced that Brian A. Tucci has been appointed as a Chapter 13 Standing Trustee in Baltimore.  Please click here to view the announcement.

The Court has completed a video aimed at unrepresented parties, titled “Filing Bankruptcy Without an Attorney:  What You Need to Know!”, and available by clicking here.  This short video features retired Bankruptcy Judge Duncan W. Keir, and is highly recommended viewing for anyone considering filing bankruptcy without legal representation.  It provides crucial information on the dangers of proceeding unrepresented, low cost and no cost attorney options, the Debtor Assistance Project, and additional resources available on the Don’t Have a Lawyer page of the Court’s website. 

Amendments to Bankruptcy Rules 2005, 3007, 7007.1, and 9036 and Official Form 122B (Chapter 11 Statement of Current Monthly Income) are effective December 1, 2021. The text of the amended rules/form and accompanying committee notes can be viewed here.  In addition, The United States Bankruptcy Court for the District of Maryland has approved new Local Bankruptcy Rules 1002-2, 1002-3, 3011-1, and 7007-1, amendments to Local Bankruptcy Rules 1009-1, 3007-1, 5001-2, and 5005-1, and deletion of Local Bankruptcy Rules 1007-3 and 2081-1 effective December 1, 2021.  Further, based on the amendments to Local Bankruptcy Rules 1002-3 and 5005-1, Administrative Orders 21-03 and 03-02 will be rescinded as unnecessary effective December 1, 2021. To view the Administrative Order implementing the amendments, a summary of the changes, and a redlined copy of the amended local rules, please click here.

The United States Bankruptcy Court for the District of Maryland has amended its Complex Chapter 11 Case Procedures.  To view the Administrative Order implementing the amendments, please click here.

Amendments to Appendix F of the Local Bankruptcy Rules are effective August 1, 2021.  To view the Administrative Order implementing the amendments and a redlined copy of Appendix F, please click here.

The Court thanks those attorneys who continue to devote their time to the benefit of pro se debtors and the bankruptcy system in the District of Maryland.  Attorneys who annually take at least two Maryland Volunteer Lawyers Service pro bono referrals or staff the Telephonic Debtor Assistance Project/Debtor Assistance Project for six hours every six months are eligible to be added to the Court’s Low Bono Lists, published on the Court’s website. Interested attorneys can find more information here on how to get listed. The Low Bono Lists are made available to debtors seeking bankruptcy counsel for a reduced or deferred fee. The revised Chapter 7 Low Bono List and Chapter 13 Low Bono List contain up-to-date attorney information.

Recent disclosures of widespread cybersecurity breaches of both private sector and government computer systems have prompted the federal courts to add new security procedures to protect highly sensitive documents (“HSDs”) filed with the courts.  HSDs contain information that is so sensitive and confidential that additional precautions beyond sealing the document from public view on the Court’s CM/ECF system is required.  Factors used to determine whether a document constitutes an HSD include whether the case involves: national security; foreign sovereign interests; criminal activity related to cybersecurity; intellectual property, trade secrets, or sensitive commercial information likely to be of interest to foreign powers; terrorism; investigation of public officials; or the reputational interests of the United States.  The following types of documents are generally not considered HSDs: Social Security records, administrative immigration records, information about minors, documents related to domestic abuse, and most other sealed filings in bankruptcy cases.

In order to provide appropriate safeguards for HSDs, they must be filed in paper and not under seal through the Court’s electronic case filing system (CM/ECF).  For HSD filing instructions, or if you believe you previously filed an HSD document with the Court, please contact the Clerk’s Office at (410) 962-2688 or (301) 344-8018 for further instructions.