Chapter 11 Discharge

This article concerns Bankruptcy Law provisions for a Chapter 11 discharge. Under Bankruptcy law, confirmation of the Chapter 11 Plan discharges debtor from debts arising before confirmation of the Chapter 11 plan. After the plan is confirmed, the debtor then proceeds to make plan payments and to fulfill obligations called for under the Chapter 11 Plan.  Exceptions to the confirmation rule are:

1. Confirmation of the plan does not discharge an individual debtor from any debt that is nondischargeable under Bankruptcy law.

2. Generally, a discharge is not available to an individual debtor unless and until all payments have been made under the plan. 

3. Confirmation does not discharge the debtor if the plan provides for liquidation of debtor’s assets, the debtor does not engage in business after consummation of the plan, and the debtor would be denied a discharge under Bankruptcy Code Section 727(a) if the case were one under Chapter 7. 

About Author

Keith F. Carr is an attorney practicing Divorce, Estate Planning, and Bankruptcy. Attorney Keith F. Carr has over 30 years experience. Founder of Law Offices of Keith F. Carr, located in San Francisco, San Jose, and Palo Alto, Ca.

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