2024 U.S. Code
Title 11 - Bankruptcy
Chapter 7 - Liquidation
Subchapter II - Collection, Liquidation, and Distribution of the Estate
Sec. 721 - Authorization to operate business
| 11 U.S.C. § 721 (2024) |
| §721. Authorization to operate business |
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The court may authorize the trustee to operate the business of the debtor for a limited period, if such operation is in the best interest of the estate and consistent with the orderly liquidation of the estate. |
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(Pub. L. 95–598, Nov. 6, 1978, 92 Stat. 2606.) |
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HISTORICAL AND REVISION NOTES
SENATE REPORT NO. 95–989
This section is derived from section 2a(5) of the Bankruptcy Act [section 11(a)(5) of former title 11]. It permits the court to authorize the operation of any business of the debtor for a limited period, if the operation is in the best interest of the estate and consistent with orderly liquidation of the estate. An example is the operation of a watch company to convert watch movements and cases into completed watches which will bring much higher prices than the component parts would have brought. |
| United States Code, 2024 Edition, Title 11 - BANKRUPTCY |
| Bills and Statutes |
| United States Code |
| Y 1.2/5: |
| Title 11 - BANKRUPTCY CHAPTER 7 - LIQUIDATION SUBCHAPTER II - COLLECTION, LIQUIDATION, AND DISTRIBUTION OF THE ESTATE Sec. 721 - Authorization to operate business |
| section 721 |
| 2024 |
| January 6, 2025 |
| Yes |
| standard |
| 92 Stat. 2606 |
| Public Law 95-598 |
