,,ii  #aah? ,,congress  #b;d ,session   
,s4 #dgdf  ,,9 ,,! ,,s5ate ,,( ,,!      
,,unit$ ,,/ates  ,july #bc1 #bjbd,mr4   
,:iteh\se 7= himself1 ,mr4 ,hawley1 &   
,mr4 ,durb97 introduc$ ! foll[+ bill2   
:i* 0 read twice & ref]r$ to !          
,committee on ! ,judici>y  ,a ,,bill    
,to am5d title #aa1 ,unit$ ,/ates ,code1
 to make ! fil+ ( a petition = relief "u
 *apt] #aa t is objectively futile or 9 
subjective bad fai? a cause = dismissal 
( ! case1 & = o!r purposes4  #a4 ,%ort  
title ,?is ,act may be cit$ z ! ,end+   
,corporate ,bankruptcy ,abuse ,act (    
#bjbd4  #b4 ,conv]sion or dismissal "u  
*apt] #aa ,section #aaab7;b7 ( title    
#aa1 ,unit$ ,/ates ,code1 is am5d$--    
7#a7 9 p>agraph 7#b77;,a71 by /rik+ )9 a
 reasonable p]iod ( "t & ins]t+ n lat]  
?an #bd mon?s aft] ! date ( ! fil+ ( !  
petition2  7#b7 9 p>agraph 7#d7-- 7,a7  
subp>agraph 7,o71 by /rik+ & at ! end2  
7,b7 9 subp>agraph 7,p71 by /rik+ !     
p]iod at ! end & ins]t+ 2 &2 &  7,c7 by 
add+ at ! end ! foll[+3  7,q7 ) respect 

to ! dismissal ( a case "u ?is *apt]1 ! 
fil+ ( a petition = relief or !         
cont9uation ( a case "u ?is title t is--
 7i7 objectively futile2 or  7ii7 9     
subjective bad fai?4  2 &  7#c7 by add+ 
at ! end ! foll[+3  7g7 7#a7 ,= !       
purpose ( subsection 7b77#d77,q71 ! c\rt
 %all presume t a petition has be5 fil$ 
or t a case is cont9u+ "u ?is title 9   
subjective bad fai? if ! c\rt det]m9es t
 ! debtor manufactur$ ! v5ue = ! case4  
7#b7 ,! presumption "u p>agraph 7#a7 may
 be rebutt$ only bas$ on cle> & conv9c+ 
evid5ce4  7h7 7#a7 ,= ! purpose (       
subsection 7b77#d77,q71 ! c\rt %all     
conclusively presume t a petition has   
be5 fil$ or t a case "u ?is title t is  
cont9u+ 9 subjective bad fai? if ! c\rt 
det]m9es t-- 7,a7 a purpose or effect ( 
! fil+ or cont9uation is to-- 7i7 ga9 a 
tactical litigation advantage2  7ii7    
impose undue delay ^u cr$itors2 or      
7iii7 cap ! total am\nt ( ! liability ( 
! debtor to #b or m cr$itors hold+      
protect$ claims 7z def9$ 9 section      

#cfb7p77#a77 t ! debtor or any affiliate
 has prop]ty ( value suffici5t to pay 9 
full z ^? claims w\ld come due2  7,b7   
dur+ ! #d-ye> p]iod prec$+ ! date ( !   
fil+ ( ! petition1 ! debtor 0 ! subject 
(1 or 0 =m$ or organiz$ 9 connection )1 
a divisional m]g] or simil> transaction 
*ang+ ! corporate /ructure ( & affect+ !
 f9ancial condition ( ! debtor or an    
affiliate2  7,c7 dur+ ! #d-ye> p]iod    
prec$+ ! date ( ! fil+ ( ! petition1 !  
debtor engag$ 9 a transf] ( sub/antial  
assets to or = b5efit ( or incurr$      
sub/antial obligations f or = ! b5efit (
 any insid] or affiliate t1 not)/&+     
subsections 7e7 ?r\gh 7g7 & 7j7 (       
section #edf1 is avoidable "u section   
#edd7;b7 or subsection 7a77#a7 or 7e7 ( 
section #edh2 or  7,d7 ! debtor does n h
 a valid reorganizational purpose4  7#b7
 ,9 mak+ a det]m9ation "u p>agraph      
7#a77;,d71 ! c\rt %all consid] & give   
weight to :e!r any appo9t$ cr$itors'    
committee supports ! dismissal ( ! case4
  7i7 ,9 a det]m9ation "u subsection 7g7

 or 7h71 ! debtor %all h ! burd5 ( pro(4
  4  #c4 ,limitations on c]ta9 /ays &   
injunctions ,section #aje ( title #aa1  
,unit$ ,/ates ,code1 is am5d$ by add+ at
 ! end ! foll[+3  7e7 ,not)/&+          
subsection 7a7 ( ?is section1 any       
provision ( title #bh1 ! ,f$]al ,rules (
 ,bankruptcy ,proc$ure1 or any          
applicable nonbankruptcy law1 ! c\rt may
 n issue any ord]1 process1 or judgm5t t
 has ! purpose or effect ( ov]rid+ or   
nullify+ section #cfb7;b77#bg7 ( ?is    
title4  4  #d4 ,automatic /ay ,section  
#cfb ( title #aa1 ,unit$ ,/ates ,code1  
is am5d$-- 7#a7 9 subsection 7b7-- 7,a7 
by r$esignat+ p>agraphs 7#bg71 7#bh71 & 
7#bi7 z p>agraphs 7#bh71 7#bi71 & 7#cj71
 respectively2 &  7,b7 by ins]t+ aft]   
p>agraph 7#bf7 ! foll[+3  7#bg7 "u      
subsection 7a7 ( ?is section1 ( !       
comm5cem5t or cont9uation1 includ+ !    
issuance or employm5t ( process1 ( a    
judicial1 adm9i/rative1 or o!r action or
 proce$+ aga9/ an entity t is n a debtor
 9 a case "u ?is title1 or any act to   

obta9 or recov] prop]ty ( su* entity1 on
 acc\nt ( or ) respect to a protect$    
claim aga9/ su* entity1 ! debtor1 or !  
e/ate 7includ+ a protect$ claim t is    
prop]ty ( ! debtor or ! e/ate aga9/ su* 
entity71 if1 dur+ ! #d-ye> p]iod prec$+ 
! date ( ! fil+ ( ! petition1 ! debtor 0
 ! subject (1 or 0 =m$ or organiz$ 9    
connection )1 a divisional m]g]1 sp9(f1 
corporate re/ructur+1 or o!r transaction
 *ang+ ! corporate /ructure (1 & affect+
 ! f9ancial condition (1 ! debtor or an 
affiliate2  2 &  7#b7 by add+ at ! end !
 foll[+3  7p7 ,= ! purposes ( p>agraph  
7#bg73 7#a7 ,! t]m protect$ claim       
means-- 7,a7 a claim t-- 7i7 is aga9/ a 
nondebtor entity or aga9/ prop]ty ( a   
nondebtor entity t is alleg$ to be      
directly or indirectly liable = a claim 
describ$ 9 subp>agraph 7,b7 aga9/ !     
debtor2 &  7ii7 arises by reason (--    
7,i7 ! nondebtor entity's own]%ip ( a   
f9ancial int]e/ 9 ! debtor1 a pa/ or    
pres5t affiliate ( ! debtor1 or a       
pr$ecessor 9 int]e/ ( ! debtor2  7,,ii7 

! nondebtor entity's involvem5t 9 !     
managem5t ( ! debtor or a pr$ecessor 9  
int]e/ ( ! debtor or ! nondebtor        
entity's s]vice z an (fic]1 director1 or
 employee ( ! debtor or a relat$ p>ty2  
7,,iii7 ! nondebtor entity's provision (
 insurance to ! debtor or a relat$ p>ty2
 or  7,,iv7 ! nondebtor entity's        
involvem5t 9 a transaction *ang+ !      
corporate /ructure1 or 9 a loan or o!r  
f9ancial transaction affect+ ! f9ancial 
condition1 ( ! debtor or a relat$ p>ty1 
includ+-- 7aa7 involvem5t 9 provid+     
f9anc+ 7debt or equity7 or advice to an 
entity involv$ 9 su* a transaction2 or  
7bb7 acquir+ or sell+ a f9ancial int]e/ 
9 an entity z "p ( su* a transaction2 or
  7,b7 a claim-- 7i7 aga9/ ! debtor or a
 nondebtor entity or prop]ty ( ! debtor 
or a nondebtor entity2  7ii7 relat+ to  
injury1 contam9ation1 damage1 or loss1  
includ+ any claim = reimbursem5t1       
indemnity1 contribution1 or subrogation2
  7iii7 affect+1 directly or indirectly1
 n less ?an #ajj individuals on or aft] 

! date ( ! fil+ ( ! petition2  7iv7     
alleg$ly caus$1 directly or indirectly1 
by ! pres5ce (1 or exposure to1 a       
product1 mat]ial1 or sub/ance design$1  
m>ket$1 manufactur$1 sold1 modifi$1     
extract$1 s]vic$1 or 9 any way us$ by ! 
debtor or ! nondebtor entity2 &  7v7    
aris+1 directly or indirectly1 f acts or
 omissions1 ( ! debtor1 a pr$ecessor 9  
int]e/ ( ! debtor1 or a pa/ or pres5t   
affiliate ( ! debtor4  7#b7 ,! t]m      
relat$ p>ty has ! mean+ giv5 ! t]m 9    
section #ebd7;g77#d77;,a77iii74  4  #e4 
,te*nical am5dm5ts  7a7 ,set(f ,section 
#eec ( title #aa1 ,unit$ ,/ates ,code1  
is am5d$-- 7#a7 9 subsection 7a7-- 7,a7 
9 p>agraph 7#b77;,b77ii71 by /rik+      
#cfb7;b77#bg7 & ins]t+ #cfb7;b77#bh72 & 
7,b7 9 p>agraph 7#c77;,c71 #cfb7;b77#bg7
 & ins]t+ #cfb7;b77#bh72 &  7#b7 9      
subsection 7b77#a71 #cfb7;b77#bg7 &     
ins]t+ #cfb7;b77#bh74  7b7 ,relief t may
 be grant$ ^u fil+ petition =           
recognition ,section #aeai7;f7 ( title  
#aa1 ,unit$ ,/ates ,code1 is am5d$ by   

/rik+ 7#bg7 & ins]t+ 7#bh74  7c7 ,relief
 t may be grant$ ^u recognition ,section
 #aeba7;f7 ( title #aa1 ,unit$ ,/ates   
,code1 is am5d$ by /rik+ 7#bg7 & ins]t+ 
7#bh74  #f4 ,application & rule (       
con/ruction ,?is ,act & ! am5dm5ts made 
by ?is ,act %all-- 7#a7 apply ) respect 
to any case "u title #aa1 ,unit$ ,/ates 
,code1 fil$ or p5d+ on or aft] ! date ( 
enactm5t ( ?is ,act2 &  7#b7 n be       
con/ru$ to affect ! validity ( any f9al 
judgm5t or ord] confirm+ a plan "u *apt]
 #aa ( title #aa1 ,unit$ ,/ates ,code1 t
 0 ent]$ be=e ! date ( enactm5t ( ?is   
,act4