90-Day Filing Deadline
The debtor must file a plan within 90 days of the order for relief. The court can extend this deadline for cause. This is much faster than traditional Chapter 11, which has no fixed plan deadline.
Plan Contents
The plan must provide for the submission of future earnings or income necessary for execution of the plan. It must designate classes of claims and interests. It must specify the treatment of each class. For nonconsensual plans, it must commit projected disposable income for 3-5 years.
Feasibility
The court must find that the debtor will be able to make the plan payments and comply with the plan. This is the same feasibility test as traditional Chapter 11 -- the plan must be more than wishful thinking.
No Disclosure Statement
Unlike traditional Chapter 11, Subchapter V does not require a disclosure statement. This saves significant time and expense. The plan itself contains the information creditors need to evaluate it.
Learn about Sub V basics
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