Rule 6010. Avoiding an Indemnifying Lien or a Transfer to a Surety

11 U.S.C. § Rule 6010. Avoiding an Indemnifying Lien

• Title: 11 — Bankruptcy
• Part: VI

Text

This rule applies if a lien voidable under §547 has been dissolved by furnishing a bond or other obligation, and the surety has been indemnified by the transfer of or creation of a lien on the debtor's nonexempt property. The surety must be joined as a defendant in any proceeding to avoid that transfer or lien. Part VII governs the proceeding.

History

(As amended Apr. 30, 1991, eff. Aug. 1, 1991; Apr. 2, 2024, eff. Dec. 1, 2024.)

Editorial Notes

Notes of Advisory Committee on Rules—1983
This rule is derived from former Bankruptcy Rule 612.

Notes of Advisory Committee on Rules—1991 Amendment
This rule is amended to conform to §550(a) of the Code which provides that the trustee may recover the property transferred in a voidable transfer. The value of the property may be recovered in lieu of the property itself only if the court so orders.

Committee Notes on Rules—2024 Amendment
The language of Rule 6010 has been amended as part of the general restyling of the Bankruptcy Rules to make them more easily understood and to make style and terminology consistent throughout the rules. These changes are intended to be stylistic only.