At any time before confirmation of a plan, on request of a party in interest or the United States trustee, and after notice and a hearing, the court may terminate the trustee’s appointment and restore the debtor to possession and management of the property of the estate and of the operation of the debtor’s business.
(Pub. L. 95–598, Nov. 6, 1978, 92 Stat. 2628; Pub. L. 98–353, title III, § 501, July 10, 1984, 98 Stat. 384; Pub. L. 99–554, title II, § 223, Oct. 27, 1986, 100 Stat. 3102.)
Historical and Revision Notes
senate report no. 95–989This section authorizes the court to terminate the trustee’s appointment and to restore the debtor to possession and management of the property of the estate and to operation of the debtor’s business. Section 1104(a) provides that this section does not apply in the case of a public company, for which the appointment of a trustee is mandatory.
house report no. 95–595This section authorizes the court to terminate the trustee’s appointment and to restore the debtor to possession and management of the property of the estate, and to operation of the debtor’s business. This section would permit the court to reverse its decision to order the appointment of a trustee in light of new evidence.
Editorial Notes
Amendments1986—Pub. L. 99–554 inserted “or the United States trustee” after “party in interest”.
1984—Pub. L. 98–353 substituted “estate and of the” for “estate, and”.
Statutory Notes and Related Subsidiaries
Effective Date of 1986 AmendmentEffective date and applicability of amendment by Pub. L. 99–554 dependent upon the judicial district involved, see section 302(d), (e) of Pub. L. 99–554, set out as a note under section 581 of Title 28, Judiciary and Judicial Procedure.
Effective Date of 1984 AmendmentAmendment by Pub. L. 98–353 effective with respect to cases filed 90 days after July 10, 1984, see section 552(a) of Pub. L. 98–353, set out as a note under section 101 of this title.