Sen. Elizabeth Warren (D-Mass.) and House Judiciary Committee Chairman Jerrold Nadler (D-N.Y.) yesterday reintroduced the Consumer Bankruptcy Reform Act, bicameral legislation proposing to simplify and modernize the consumer bankruptcy system and make it easier for consumer debtors, according to a press release. Originally introduced in 2020, this legislation would replace the two separate consumer bankruptcy chapters known as chapters 7 and 13 with a single system available to all consumers, streamlining the filing process and reducing filing fees. The bill would also aim to ensure that families can care for themselves, their children, and their elderly parents during the bankruptcy process by helping renters with back rent avoid eviction, giving people a path to protect their homes and cars, and letting filers discharge local government fines. Read the full press release.
According to the press release, the House Judiciary Subcommittee on Antitrust, Commercial, and Administrative Law's hearing at 1 p.m. today will focus on the purported loopholes and abuses in the current consumer bankruptcy system and how the Consumer Bankruptcy Reform Act might provide improvements. Click here to watch a live webcast of the hearing at 1 p.m. ET.
