- Rule 2019
USAA Federal Rule of Bankruptcy Procedure which requires an entity or committee, other than an official committee, representing more than one creditor or equity security holder in a Chapter 9 or Chapter 11 bankruptcy to file a verified statement with the bankruptcy court disclosing the:•Name and address of each creditor or equity security holder.•Nature and amount of their claims and interests.•Time of acquisition of their claims or interests and the amounts paid for them.•Terms of any sales or other disposition of the claims or interests.•Facts and circumstances involved in the formation of the entity or committee.A failure to comply with Rule 2019 may result in an inability of the committee or entity to participate in the bankruptcy proceedings.The application and scope of Rule 2019 has been challenged in several bankruptcy cases (for example, see Legal Updates, DE Bankruptcy Court Holds That Six Flags Informal Committee Does Not Have to Comply with Rule 2019 (www.practicallaw.com/7-501-2829) and DE Bankruptcy Court Requires WaMu Noteholders Group to Comply with Code Disclosure (www.practicallaw.com/5-500-9432)).
Practical Law Dictionary. Glossary of UK, US and international legal terms. www.practicallaw.com. 2010.
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