08.26.2019 | Articles / Publications
Trump Signs Bankruptcy Bills Providing Economic Relief for Small Businesses, National Guard, Veterans, and Family Farmers
On Friday, August 23, President Trump signed four bankruptcy bills into law:
- H.R. 3311, the “Small Business Reorganization Act of 2019”, which adds a new Subchapter V to Chapter 11 of the Bankruptcy Code in order to streamline and expedite the reorganization of “small business debtors.”
- H.R. 3304, the “National Guard and Reservists Debt Relief Extension Act of 2019”, which extends for an additional 4-year period, through December 18, 2023, the current exemption from the Chapter 7 “presumption of abuse” means testing for qualifying reservists of the Armed Forces and members of the National Guard.
- H.R. 2938, the “Honoring American Veterans in Extreme Need Act of 2019” or the “HAVEN Act”, which excludes certain VA and DoD disability payments from the definition of “current monthly income” for purposes of bankruptcy means testing.
- H.R. 2336, the “Family Farmer Relief Act of 2019”, which increases the debt threshold for a “family farmer” from $4,411,400 to $10,000,000.
H.R. 3311 has an effective date 180 days after enactment. H.R. 3304, H.R. 2938, and H.R. 2336 are effective upon enactment. Read an overview of H.R. 3311, H.R. 2938, and H.R. 2336 here: Shelter from the Storm – Bankruptcy Relief Comes in Three’s