On March 17, 2021, the U.S. House of Representatives passed H.R. 1651 “COVID–19 Bankruptcy Relief Extension Act of 2021”. Among many things, this bill amends the CARES Act to extend the sunset for the definition of a small business debtor. More specifically, the bill extends the ability to modify Chapter 13 bankruptcy plans to 84 months out and maintains the increased Subchapter V debt limits.
NACBA extends our thanks to Judiciary Chairman Jerry Nadler (D-NY-10) and Representatives Darrell Issa (R-CA-50), Ben Kline (R-VA-06) and Van Taylor (R-TX-03) for working to get support of this bill. NACBA was pleased to assist them in creating appropriate language, and more importantly, getting the needed support in understanding the importance of passing this legislation.
The bill moves onto the Senate, where, given the bipartisan sponsorship by Senators Dick Durbin (D-IL) and Chuck Grassley (R-IA), there is reason to be confident that it will pass by unanimous consent. NACBA will continue working with our friends in Senate to see this bill moves through.
More resources of NACBA’s longstanding assistance since the COVID-19 pandemic began can be found by visiting our website directly here: https://www.nacba.org/legislative/bankruptcy-covid-19/
Should you have any questions, please contact NACBA’s Director of Government Affairs, Krista D’Amelio: email@example.com.