The Bankruptcy Abuse Prevention and Consumer Protection Act (BAPCPA) became effective on October 17, 2005. Directed in the main at perceived abuses of bankruptcy law by consumers seeking relief, BAPCPA also contained significant (and less well publicized) changes to provisions affecting Chapter 11 business reorganizations. Concerns about the potential impact of the new law caused a record spike in consumer filings just before the law’s effective date. The pattern of business filings appears in the main to have remained unchanged, however. Instead, it appears that in the business arena, judging by the few published decisions in BAPCPA’s first year and anecdotal evidence, the parties and courts have learned to adapt, accommodate and otherwise work around the changes in law without any significant changes in the manner in which Chapter 11 business reorganizations are administered.
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