Notes on 11 U.S.C. § 365 : US Code - Notes

Search Notes on 11 U.S.C. § 365 : US Code - Notes

(Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2574; Pub. L. 98-353, title
III, Secs. 362, 402-404, July 10, 1984, 98 Stat. 361, 367; Pub. L.
99-554, title II, Secs. 257(j), (m), 283(e), Oct. 27, 1986, 100
Stat. 3115, 3117; Pub. L. 100-506, Sec. 1(b), Oct. 18, 1988, 102
Stat. 2538; Pub. L. 101-647, title XXV, Sec. 2522(c), Nov. 29,
1990, 104 Stat. 4866; Pub. L. 102-365, Sec. 19(b)-(e), Sept. 3,
1992, 106 Stat. 982-984; Pub. L. 103-394, title II, Secs. 205(a),
219(a), (b), title V, Sec. 501(d)(10), Oct. 22, 1994, 108 Stat.
4122, 4128, 4145; Pub. L. 103-429, Sec. 1, Oct. 31, 1994, 108 Stat.
4377; Pub. L. 109-8, title III, Secs. 309(b), 328(a), title IV,
Sec. 404, Apr. 20, 2005, 119 Stat. 82, 100, 104.)
HISTORICAL AND REVISION NOTES
LEGISLATIVE STATEMENTS
Section 365(b)(3) represents a compromise between H.R. 8200 as
passed by the House and the Senate amendment. The provision adopts
standards contained in section 365(b)(5) of the Senate amendment to
define adequate assurance of future performance of a lease of real
property in a shopping center.
Section 365(b)(4) of the House amendment indicates that after
default the trustee may not require a lessor to supply services or
materials without assumption unless the lessor is compensated as
provided in the lease.
Section 365(c)(2) and (3) likewise represent a compromise between
H.R. 8200 as passed by the House and the Senate amendment. Section
365(c)(2) is derived from section 365(b)(4) of the Senate amendment
but does not apply to a contract to deliver equipment as provided
in the Senate amendment. As contained in the House amendment, the
provision prohibits a trustee or debtor in possession from assuming
or assigning an executory contract of the debtor to make a loan, or
extend other debt financing or financial accommodations, to or for
the benefit of the debtor, or the issuance of a security of the
debtor.
Section 365(e) is a refinement of comparable provisions contained
in the House bill and Senate amendment. Sections 365(e)(1) and
(2)(A) restate section 365(e) of H.R. 8200 as passed by the House.
Sections 365(e)(2)(B) expands the section to permit termination of
an executory contract or unexpired lease of the debtor if such
contract is a contract to make a loan, or extend other debt
financing or financial accommodations, to or for the benefit of the
debtor, or for the issuance of a security of the debtor.
Characterization of contracts to make a loan, or extend other
debt financing or financial accommodations, is limited to the
extension of cash or a line of credit and is not intended to
embrace ordinary leases or contracts to provide goods or services
with payments to be made over time.
Section 365(f) is derived from H.R. 8200 as passed by the House.
Deletion of language in section 365(f)(3) of the Senate amendment
is done as a matter of style. Restrictions with respect to
assignment of an executory contract or unexpired lease are
superfluous since the debtor may assign an executory contract or
unexpired lease of the debtor only if such contract is first
assumed under section 364(f)(2)(A) of the House amendment.
Section 363(h) of the House amendment represents a modification
of section 365(h) of the Senate amendment. The House amendment
makes clear that in the case of a bankrupt lessor, a lessee may
remain in possession for the balance of the term of a lease and any
renewal or extension of the term only to the extent that such
renewal or extension may be obtained by the lessee without the
permission of the landlord or some third party under applicable non-
bankruptcy law.
SENATE REPORT NO. 95-989
Subsection (a) of this section authorizes the trustee, subject to
the court's approval, to assume or reject an executory contract or
unexpired lease. Though there is no precise definition of what
contracts are executory, it generally includes contracts on which
performance remains due to some extent on both sides. A note is not
usually an executory contract if the only performance that remains
is repayment. Performance on one side of the contract would have
been completed and the contract is no longer executory.
Because of the volatile nature of the commodities markets and the
special provisions governing commodity broker liquidations in
subchapter IV of chapter 7, the provisions governing distribution
in section 765(a) will govern if any conflict between those
provisions and the provisions of this section arise.
Subsections (b), (c), and (d) provide limitations on the
trustee's powers. Subsection (b) requires the trustee to cure any
default in the contract or lease and to provide adequate assurance
of future performance if there has been a default, before he may
assume. This provision does not apply to defaults under ipso facto
or bankruptcy clauses, which is a significant departure from
present law.
Subsection (b)(3) permits termination of leases entered into
prior to the effective date of this title in liquidation cases if
certain other conditions are met.
Subsection (b)(4) [enacted as (c)(2)] prohibits the trustee's
assumption of an executory contract requiring the other party to
make a loan or deliver equipment to or to issue a security of the
debtor. The purpose of this subsection is to make it clear that a
party to a transaction which is based upon the financial strength
of a debtor should not be required to extend new credit to the
debtor whether in the form of loans, lease financing, or the
purchase or discount of notes.
Subsection (b)(5) provides that in lease situations common to
shopping centers, protections must be provided for the lessor if
the trustee assumes the lease, including protection against decline
in percentage rents, breach of agreements with other tenants, and
preservation of the tenant mix. Protection for tenant mix will not
be required in the office building situation.
Subsection (c) prohibits the trustee from assuming or assigning a
contract or lease if applicable nonbankruptcy law excuses the other
party from performance to someone other than the debtor, unless the
other party consents. This prohibition applies only in the
situation in which applicable law excuses the other party from
performance independent of any restrictive language in the contract
or lease itself.
Subsection (d) places time limits on assumption and rejection. In
a liquidation case, the trustee must assume within 60 days (or
within an additional 60 days, if the court, for cause, extends the
time). If not assumed, the contract or lease is deemed rejected. In
a rehabilitation case, the time limit is not fixed in the bill.
However, if the other party to the contract or lease requests the
court to fix a time, the court may specify a time within which the
trustee must act. This provision will prevent parties in
contractual or lease relationships with the debtor from being left
in doubt concerning their status vis-a-vis the estate.
Subsection (e) invalidates ipso facto or bankruptcy clauses.
These clauses, protected under present law, automatically terminate
the contract or lease, or permit the other contracting party to
terminate the contract or lease, in the event of bankruptcy. This
frequently hampers rehabilitation efforts. If the trustee may
assume or assign the contract under the limitations imposed by the
remainder of the section, the contract or lease may be utilized to
assist in the debtor's rehabilitation or liquidation.
The unenforcibility [sic] of ipso facto or bankruptcy clauses
proposed under this section will require the courts to be sensitive
to the rights of the nondebtor party to executory contracts and
unexpired leases. If the trustee is to assume a contract or lease,
the court will have to insure that the trustee's performance under
the contract or lease gives the other contracting party the full
benefit of his bargain.
This subsection does not limit the application of an ipso facto
or bankruptcy clause if a new insolvency or receivership occurs
after the bankruptcy case is closed. That is, the clause is not
invalidated in toto, but merely made inapplicable during the case
for the purposes of disposition of the executory contract or
unexpired lease.
Subsection (f) partially invalidates restrictions on assignment
of contracts or leases by the trustee to a third party. The
subsection imposes two restrictions on the trustee: he must first
assume the contract or lease, subject to all the restrictions on
assumption found in the section, and adequate assurance of future
performance must be provided to the other contracting party.
Paragraph (3) of the subsection invalidates contractual provisions
that permit termination or modification in the event of an
assignment, as contrary to the policy of this subsection.
Subsection (g) defines the time as of which a rejection of an
executory contract or unexpired lease constitutes a breach of the
contract or lease. Generally, the breach is as of the date
immediately preceding the date of the petition. The purpose is to
treat rejection claims as prepetition claims. The remainder of the
subsection specifies different times for cases that are converted
from one chapter to another. The provisions of this subsection are
not a substantive authorization to breach or reject an assumed
contract. Rather, they prescribe the rules for the allowance of
claims in case an assumed contract is breached, or if a case under
chapter 11 in which a contract has been assumed is converted to a
case under chapter 7 in which the contract is rejected.
Subsection (h) protects real property lessees of the debtor if
the trustee rejects an unexpired lease under which the debtor is
the lessor (or sublessor). The subsection permits the lessee to
remain in possession of the leased property or to treat the lease
as terminated by the rejection. The balance of the term of the
lease referred to in paragraph (1) will include any renewal terms
that are enforceable by the tenant, but not renewal terms if the
landlord had an option to terminate. Thus, the tenant will not be
deprived of his estate for the term for which he bargained. If the
lessee remains in possession, he may offset the rent reserved under
the lease against damages caused by the rejection, but does not
have any affirmative rights against the estate for any damages
after the rejection that result from the rejection.
Subsection (i) gives a purchaser of real property under a land
installment sales contract similar protection. The purchaser, if
the contract is rejected, may remain in possession or may treat the
contract as terminated. If the purchaser remains in possession, he
is required to continue to make the payments due, but may offset
damages that occur after rejection. The trustee is required to
deliver title, but is relieved of all other obligations to perform.
A purchaser that treats the contract as terminated is granted a
lien on the property to the extent of the purchase price paid. A
party with a contract to purchase land from the debtor has a lien
on the property to secure the price already paid, if the contract
is rejected and the purchaser is not yet in possession.
Subsection (k) relieves the trustee and the estate of liability
for a breach of an assigned contract or lease that occurs after the
assignment.
HOUSE REPORT NO. 95-595
Subsection (c) prohibits the trustee from assuming or assigning a
contract or lease if applicable nonbankruptcy law excuses the other
party from performance to someone other than the debtor, unless the
other party consents. This prohibition applies only in the
situation in which applicable law excuses the other party from
performance independent of any restrictive language in the contract
or lease itself. The purpose of this subsection, at least in part,
is to prevent the trustee from requiring new advances of money or
other property. The section permits the trustee to continue to use
and pay for property already advanced, but is not designed to
permit the trustee to demand new loans or additional transfers of
property under lease commitments.
Thus, under this provision, contracts such as loan commitments
and letters of credit are nonassignable, and may not be assumed by
the trustee.
Subsection (e) invalidates ipso facto or bankruptcy clauses.
These clauses, protected under present law, automatically terminate
the contract or lease, or permit the other contracting party to
terminate the contract or lease, in the event of bankruptcy. This
frequently hampers rehabilitation efforts. If the trustee may
assume or assign the contract under the limitations imposed by the
remainder of the section, then the contract or lease may be
utilized to assist in the debtor's rehabilitation or liquidation.
The unenforceability of ipso facto or bankruptcy clauses proposed
under this section will require the courts to be sensitive to the
rights of the nondebtor party to executory contracts and unexpired
leases. If the trustee is to assume a contract or lease, the courts
will have to insure that the trustee's performance under the
contract or lease gives the other contracting party the full
benefit of his bargain. An example of the complexity that may arise
in these situations and the need for a determination of all aspects
of a particular executory contract or unexpired lease is the
shopping center lease under which the debtor is a tenant in a
shopping center.
A shopping center is often a carefully planned enterprise, and
though it consists of numerous individual tenants, the center is
planned as a single unit, often subject to a master lease or
financing agreement. Under these agreements, the tenant mix in a
shopping center may be as important to the lessor as the actual
promised rental payments, because certain mixes will attract higher
patronage of the stores in the center, and thus a higher rental for
the landlord from those stores that are subject to a percentage of
gross receipts rental agreement. Thus, in order to assure a
landlord of his bargained for exchange, the court would have to
consider such factors as the nature of the business to be conducted
by the trustee or his assignee, whether that business complies with
the requirements of any master agreement, whether the kind of
business proposed will generate gross sales in an amount such that
the percentage rent specified in the lease is substantially the
same as what would have been provided by the debtor, and whether
the business proposed to be conducted would result in a breach of
other clauses in master agreements relating, for example, to tenant
mix and location.
This subsection does not limit the application of an ipso facto
or bankruptcy clause to a new insolvency or receivership after the
bankruptcy case is closed. That is, the clause is not invalidated
in toto, but merely made inapplicable during the case for the
purpose of disposition of the executory contract or unexpired
lease.
AMENDMENTS
2005 - Subsec. (b)(1)(A). Pub. L. 109-8, Sec. 328(a)(1)(A),
inserted before semicolon at end "other than a default that is a
breach of a provision relating to the satisfaction of any provision
(other than a penalty rate or penalty provision) relating to a
default arising from any failure to perform nonmonetary obligations
under an unexpired lease of real property, if it is impossible for
the trustee to cure such default by performing nonmonetary acts at
and after the time of assumption, except that if such default
arises from a failure to operate in accordance with a
nonresidential real property lease, then such default shall be
cured by performance at and after the time of assumption in
accordance with such lease, and pecuniary losses resulting from
such default shall be compensated in accordance with the provisions
of this paragraph".
Subsec. (b)(2)(D). Pub. L. 109-8, Sec. 328(a)(1)(B), substituted
"penalty rate or penalty provision" for "penalty rate or
provision".
Subsec. (c)(4). Pub. L. 109-8, Sec. 328(a)(2), struck out par.
(4) which read as follows: "such lease is of nonresidential real
property under which the debtor is the lessee of an aircraft
terminal or aircraft gate at an airport at which the debtor is the
lessee under one or more additional nonresidential leases of an
aircraft terminal or aircraft gate and the trustee, in connection
with such assumption or assignment, does not assume all such leases
or does not assume and assign all of such leases to the same
person, except that the trustee may assume or assign less than all
of such leases with the airport operator's written consent."
Subsec. (d)(4). Pub. L. 109-8, Sec. 404(a), amended par. (4)
generally. Prior to amendment, par. (4) read as follows:
"Notwithstanding paragraphs (1) and (2), in a case under any
chapter of this title, if the trustee does not assume or reject an
unexpired lease of nonresidential real property under which the
debtor is the lessee within 60 days after the date of the order for
relief, or within such additional time as the court, for cause,
within such 60-day period, fixes, then such lease is deemed
rejected, and the trustee shall immediately surrender such
nonresidential real property to the lessor."
Subsec. (d)(5) to (10). Pub. L. 109-8, Sec. 328(a)(3),
redesignated par. (10) as (5) and struck out former pars. (5) to
(9) which related to rejection of leases under which the debtor is
an affected air carrier that is the lessee of an aircraft terminal
or aircraft gate.
Subsec. (f)(1). Pub. L. 109-8, Sec. 404(b), substituted "provided
in subsections (b) and" for "provided in subsection".
Pub. L. 109-8, Sec. 328(a)(4), struck out "; except that the
trustee may not assign an unexpired lease of nonresidential real
property under which the debtor is an affected air carrier that is
the lessee of an aircraft terminal or aircraft gate if there has
occurred a termination event" before period at end.
Subsec. (p). Pub. L. 109-8, Sec. 309(b), added subsec. (p).
1994 - Subsec. (b)(2)(D). Pub. L. 103-394, Sec. 219(a), added
subpar. (D).
Subsec. (d)(6)(C). Pub. L. 103-429, Sec. 1(1), substituted
"section 40102(a) of title 49" for "section 101 of the Federal
Aviation Act of 1958 (49 App. U.S.C. 1301)".
Pub. L. 103-394, Sec. 501(d)(10)(A), which directed the
substitution of "section 40102 of title 49" for "the Federal
Aviation Act of 1958 (49 U.S.C. 1301)", could not be executed
because the phrase "(49 U.S.C. 1301)" did not appear in text.
Subsec. (d)(10). Pub. L. 103-394, Sec. 219(b), added par. (10).
Subsec. (g)(2)(A), (B). Pub. L. 103-394, Sec. 501(d)(10)(B),
substituted "1208, or 1307" for "1307, or 1208".
Subsec. (h). Pub. L. 103-394, Sec. 205(a), amended subsec. (h)
generally. Prior to amendment, subsec. (h) read as follows:
"(h)(1) If the trustee rejects an unexpired lease of real
property of the debtor under which the debtor is the lessor, or a
timeshare interest under a timeshare plan under which the debtor is
the timeshare interest seller, the lessee or timeshare interest
purchaser under such lease or timeshare plan may treat such lease
or timeshare plan as terminated by such rejection, where the
disaffirmance by the trustee amounts to such a breach as would
entitle the lessee or timeshare interest purchaser to treat such
lease or timeshare plan as terminated by virtue of its own terms,
applicable nonbankruptcy law, or other agreements the lessee or
timeshare interest purchaser has made with other parties; or, in
the alternative, the lessee or timeshare interest purchaser may
remain in possession of the leasehold or timeshare interest under
any lease or timeshare plan the term of which has commenced for the
balance of such term and for any renewal or extension of such term
that is enforceable by such lessee or timeshare interest purchaser
under applicable nonbankruptcy law.
"(2) If such lessee or timeshare interest purchaser remains in
possession as provided in paragraph (1) of this subsection, such
lessee or timeshare interest purchaser may offset against the rent
reserved under such lease or moneys due for such timeshare interest
for the balance of the term after the date of the rejection of such
lease or timeshare interest, and any such renewal or extension
thereof, any damages occurring after such date caused by the
nonperformance of any obligation of the debtor under such lease or
timeshare plan after such date, but such lessee or timeshare
interest purchaser does not have any rights against the estate on
account of any damages arising after such date from such rejection,
other than such offset."
Subsec. (n)(1)(B). Pub. L. 103-394, Sec. 501(d)(10)(C),
substituted "a right to" for "a right to to".
Subsec. (o). Pub. L. 103-394, Sec. 501(d)(10)(D), substituted "a
Federal depository institutions regulatory agency (or predecessor
to such agency)" for "the Federal Deposit Insurance Corporation,
the Resolution Trust Corporation, the Director of the Office of
Thrift Supervision, the Comptroller of the Currency, or the Board
of Governors of the Federal Reserve System, or its predecessors or
successors,".
Subsec. (p). Pub. L. 103-429, Sec. 1(2), which directed the
amendment of subsec. (p) by substituting "section 40102(a) of title
49" for "section 101(3) of the Federal Aviation Act of 1958", could
not be executed because subsec. (p) was repealed by Pub. L. 103-
394, Sec. 501(d)(10)(E). See below.
Pub. L. 103-394, Sec. 501(d)(10)(E), struck out subsec. (p),
which read as follows: "In this section, 'affected air carrier'
means an air carrier, as defined in section 101(3) of the Federal
Aviation Act of 1958, that holds 65 percent or more in number of
the aircraft gates at an airport -
"(1) which is a Large Air Traffic Hub as defined by the Federal
Aviation Administration in Report FAA-AP 92-1, February 1992; and
"(2) all of whose remaining aircraft gates are leased or under
contract on the date of enactment of this subsection."
1992 - Subsec. (c)(4). Pub. L. 102-365, Sec. 19(c), added par.
(4).
Subsec. (d)(5) to (9). Pub. L. 102-365, Sec. 19(b), added pars.
(5) to (9).
Subsec. (f)(1). Pub. L. 102-365, Sec. 19(d), substituted for
period at end "; except that the trustee may not assign an
unexpired lease of nonresidential real property under which the
debtor is an affected air carrier that is the lessee of an aircraft
terminal or aircraft gate if there has occurred a termination
event."
Subsec. (p). Pub. L. 102-365, Sec. 19(e), added subsec. (p).
1990 - Subsec. (o). Pub. L. 101-647 added subsec. (o).
1988 - Subsec. (n). Pub. L. 100-506 added subsec. (n).
1986 - Subsec. (c)(1)(A). Pub. L. 99-554, Sec. 283(e)(1), struck
out "or an assignee of such contract or lease" after "debtor in
possession".
Subsec. (c)(3). Pub. L. 99-554, Sec. 283(e)(2), inserted "is"
after "lease" and "and" after "property".
Subsecs. (d)(2), (g)(1). Pub. L. 99-554, Sec. 257(j), (m)(1),
inserted reference to chapter 12.
Subsec. (g)(2). Pub. L. 99-554, Sec. 257(m)(2), inserted
references to chapter 12 and section 1208 of this title.
Subsec. (h)(1). Pub. L. 99-554, Sec. 283(e)(2), inserted "or
timeshare plan" after "to treat such lease".
Subsec. (m). Pub. L. 99-554, Sec. 283(e)(3), substituted
"362(b)(10)" for "362(b)(9)".
1984 - Subsec. (a). Pub. L. 98-353, Sec. 362(a), amended subsec.
(a) generally, making minor changes.
Subsec. (b). Pub. L. 98-353, Sec. 362(a), amended subsec. (b)
generally, inserting in par. (3) reference to par. (2)(B) of
subsec. (f) of this section, in par. (3)(A) inserting provisions
relating to financial condition and operating performance in the
case of an assignment, and in par. (3)(C) substituting "that
assumption or assignment of such lease is subject to all the
provisions thereof, including (but not limited to) provisions such
as a radius, location, use, or exclusivity provision, and will not
breach any such provision contained in any other lease, financing
agreement, or master agreement relating to such shopping center"
for "that assumption or assignment of such lease will not breach
substantially any provision, such as a radius, location, use, or
exclusivity provision, in any other lease, financing agreement, or
master agreement relating to such shopping center".
Subsec. (c). Pub. L. 98-353, Sec. 362(a), amended subsec. (c)
generally, substituting in par. (1)(A) "applicable law excuses a
party, other than the debtor, to such contract or lease from
accepting performance from or rendering performance to an entity
other than the debtor or the debtor in possession or an assignee of
such contract or lease, whether or not such contract or lease
prohibits or restricts assignment of rights or delegation of
duties" for "applicable law excuses a party, other than the debtor,
to such contract or lease from accepting performance from or
rendering performance to the trustee or an assignee of such
contract or lease, whether or not such contract or lease prohibits
or restricts assignment of rights or delegation of duties" and
adding par. (3).
Subsec. (d). Pub. L. 98-353, Sec. 362(a), amended subsec. (d)
generally, inserting in par. (1) reference to residential real
property or personal property of the debtor, inserting in par. (2)
reference to residential real property or personal property of the
debtor, and adding pars. (3) and (4).
Subsec. (h)(1). Pub. L. 98-353, Sec. 402, amended par. (1)
generally. Prior to amendment, par. (1) read as follows: "If the
trustee rejects an unexpired lease of real property of the debtor
under which the debtor is the lessor, the lessee under such lease
may treat the lease as terminated by such rejection, or, in the
alternative, may remain in possession for the balance of the term
of such lease and any renewal or extension of such term that is
enforceable by such lessee under applicable nonbankruptcy law."
Subsec. (h)(2). Pub. L. 98-353, Sec. 403, amended par. (2)
generally. Prior to amendment, par. (2) read as follows: "If such
lessee remains in possession, such lessee may offset against the
rent reserved under such lease for the balance of the term after
the date of the rejection of such lease, and any such renewal or
extension, any damages occurring after such date caused by the
nonperformance of any obligation of the debtor after such date, but
such lessee does not have any rights against the estate on account
of any damages arising after such date from such rejection, other
than such offset."
Subsec. (i)(1). Pub. L. 98-353, Sec. 404, amended par. (1)
generally, inserting provisions relating to timeshare interests
under timeshare plans.
Subsecs. (l), (m). Pub. L. 98-353, Sec. 362(b), added subsecs.
(l) and (m).
EFFECTIVE DATE OF 2005 AMENDMENT
Amendment by Pub. L. 109-8 effective 180 days after Apr. 20,
2005, and not applicable with respect to cases commenced under this
title before such effective date, except as otherwise provided, see
section 1501 of Pub. L. 109-8, set out as a note under section 101
of this title.
EFFECTIVE DATE OF 1994 AMENDMENT
Amendment by Pub. L. 103-394 effective Oct. 22, 1994, and not
applicable with respect to cases commenced under this title before
Oct. 22, 1994, see section 702 of Pub. L. 103-394, set out as a
note under section 101 of this title.
EFFECTIVE DATE OF 1992 AMENDMENT
Section 19(f) of Pub. L. 102-365 provided that: "The amendments
made by this section [amending this section] shall be in effect for
the 12-month period that begins on the date of enactment of this
Act [Sept. 3, 1992] and shall apply in all proceedings involving an
affected air carrier (as defined in section 365(p) of title 11,
United States Code, as amended by this section) that are pending
during such 12-month period. Not later than 9 months after the date
of enactment, the Administrator of the Federal Aviation
Administration shall report to the Committee on Commerce, Science,
and Transportation and Committee on the Judiciary of the Senate and
the Committee on the Judiciary and Committee on Public Works and
Transportation of the House of Representatives on whether this
section shall apply to proceedings that are commenced after such 12-
month period."
EFFECTIVE DATE OF 1988 AMENDMENT
Amendment by Pub. L. 100-506 effective Oct. 18, 1988, but not
applicable to any case commenced under this title before such date,
see section 2 of Pub. L. 100-506, set out as a note under section
101 of this title.
EFFECTIVE DATE OF 1986 AMENDMENT
Amendment by section 257 of Pub. L. 99-554 effective 30 days
after Oct. 27, 1986, but not applicable to cases commenced under
this title before that date, see section 302(a), (c)(1) of Pub. L.
99-554, set out as a note under section 581 of Title 28, Judiciary
and Judicial Procedure.
Amendment by section 283 of Pub. L. 99-554 effective 30 days
after Oct. 27, 1986, see section 302(a) of Pub. L. 99-554.
EFFECTIVE DATE OF 1984 AMENDMENT
Amendment 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.
AIRPORT LEASES
Section 19(a) of Pub. L. 102-365 provided that: "Congress finds
that -
"(1) there are major airports served by an air carrier that has
leased a substantial majority of the airport's gates;
"(2) the commerce in the region served by such a major airport
can be disrupted if the air carrier that leases most of its gates
enters bankruptcy and either discontinues or materially reduces
service; and
"(3) it is important that such airports be empowered to
continue service in the event of such a disruption."