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Rule 1015 United States Federal Rules of Bankruptcy Procedure

Rule 1015 Federal Rules of Bankruptcy Procedure

Rule 1015 of the Federal Rules of Bankruptcy Procedure is about Consolidating or Jointly Administering Cases Pending in the Same District. It is under Part I (Commencement of Case; Proceedings Relating to Petition and Order for Relief) of the Rules.

(a) Consolidating Cases Involving the Same Debtor. The court may consolidate two or more cases that are regarding or brought by or against the same debtor and that are pending in its district.

(b) Jointly Administering Cases Involving Related Debtors; Exemptions of Spouses; Protective Orders to Avoid Conflicts of Interest.

(1) In General. The court may order joint administration of the estates in a joint case or in two or more cases pending in the court if they are brought by or against:

(A) spouses;

(B) a partnership and one or more of its general partners;

(C) two or more general partners; or

(D) a debtor and an affiliate.

(2) Potential Conflicts of Interest. Before issuing a joint-administration order, the court must consider how to protect the creditors of different estates against potential conflicts of interest.

(3) Exemptions in Cases Involving Spouses. If spouses have filed separate petitions—with one electing exemptions under § 522(b)(2) and the other under § 522(b)(3)—and the court orders joint administration, that order must:

(A) set a reasonable time for the debtors to elect the same exemptions; and

(B) advise the debtors that if they fail to do so, they will be considered to have elected exemptions under§ 522(b)(2).

(c) Protective Orders to Avoid Unnecessary Costs and Delay. When cases are consolidated or jointly administered, the court may issue orders to avoid unnecessary costs and delay while still protecting the parties’ rights under the Code.

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