Azusa Bankruptcy Attorney, Bankruptcy Lawyer, Bankruptcy Code 11 USC Section 347

TITLE 11 - BANKRUPTCY
CHAPTER 3 - CASE ADMINISTRATION
    SUBCHAPTER III - ADMINISTRATION

-HEAD-
    Sec. 347. Unclaimed property

-STATUTE-
      (a) Ninety days after the final distribution under section 726,
    1226, or 1326 of this title in a case under chapter 7, 12, or 13 of
    this title, as the case may be, the trustee shall stop payment on
    any check remaining unpaid, and any remaining property of the
    estate shall be paid into the court and disposed of under chapter
    129 of title 28.
      (b) Any security, money, or other property remaining unclaimed at
    the expiration of the time allowed in a case under chapter 9, 11,
    or 12 of this title for the presentation of a security or the
    performance of any other act as a condition to participation in the
    distribution under any plan confirmed under section 943(b), 1129,
    1173, or 1225 of this title, as the case may be, becomes the
    property of the debtor or of the entity acquiring the assets of the
    debtor under the plan, as the case may be.

-SOURCE-
    (Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2568; Pub. L. 99-554, title
    II, Sec. 257(h), Oct. 27, 1986, 100 Stat. 3114.)


                       HISTORICAL AND REVISION NOTES                   

                          LEGISLATIVE STATEMENTS                      
      Section 347(a) of the House amendment adopts a comparable
    provision contained in the Senate amendment instructing the trustee
    to stop payment on any check remaining unpaid more than 90 days
    after the final distribution in a case under Chapter 7 or 13.
    Technical changes are made in section 347(b) to cover distributions
    in a railroad reorganization.

                         SENATE REPORT NO. 95-989                     
      Section 347 is derived from Bankruptcy Act Sec. 66 [section 106
    of former title 11]. Subsection (a) requires the trustee to stop
    payment on any distribution check that is unpaid 90 days after the
    final distribution in a case under chapter 7 or 13. The unclaimed
    funds, and any other property of the estate are paid into the court
    and disposed of under chapter 129 [Sec. 2041 et seq.] of title 28,
    which requires the clerk of court to hold the funds for their owner
    for 5 years, after which they escheat to the Treasury.
      Subsection (b) specifies that any property remaining unclaimed at
    the expiration of the time allowed in a chapter 9 or 11 case for
    presentation (exchange) of securities or the performance of any
    other act as a condition to participation in the plan reverts to
    the debtor or the entity acquiring the assets of the debtor under
    the plan. Conditions to participation under a plan include such
    acts as cashing a check, surrendering securities for cancellation,
    and so on. Similar provisions are found in sections 96(d) and 205
    of current law [sections 416(d) and 605 of former title 11].

                                AMENDMENTS                            
      1986 - Subsec. (a). Pub. L. 99-554, Sec. 257(h)(1), inserted
    references to section 1226 and chapter 12 of this title.
      Subsec. (b). Pub. L. 99-554, Sec. 257(h)(2), inserted references
    to chapter 12 and section 1225 of this title.

                     EFFECTIVE DATE OF 1986 AMENDMENT                 
      Amendment by Pub. L. 99-554 effective 30 days after Oct. 27,
    1986, but not applicable to cases commenced under this title before
    that date, see section 302(a), (c)(1) of Pub. L. 99-554, set out as
    a note under section 581 of Title 28, Judiciary and Judicial
    Procedure.

-End-
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