Sales Not in the Ordinary Course of Business
(a) Motion. Except as provided in FRBP 6004(d), sales of property not in the ordinary course of business may only be sold on motion, notice and opportunity for hearing.
(b) Notice. The notice of a sale must include, if applicable:
(1) The time and place of sale;
(2) The name or representative’s name of the prospective buyer;
(3) Whether the prospective buyer is an insider;
(4) A detailed description of the property or interest to be sold;
(5) All entities known or believed to hold interests in the property to be sold;
(6) If the sale is free and clear of liens, claims or interests, a description of such liens, claims or interests including copies of all applicable public record searches (e.g., title reports, secretary of state records);
(7) The terms and conditions of the offer;
(8) Whether the property may be viewed, and if so, when and where;
(9) Whether the offer is subject to higher and better bids;
(10) The date by which the objections must be filed and served;
(11) Whether any compensation will be paid from the sale proceeds, to whom, and whether the recipient is an insider;
(12) Whether there is an appraisal of the property and the value of the property stated therein; and
(13) Whether any motions for stay relief have been filed and by whom.
(c) Service. The notice and the motion must be served on those specified in FRBP 6004, potential buyers and/or their brokers, the title company where escrow has been opened, and any parties asserting liens, claims or interests in the property and their counsel. Immediately after service and before hearing, a certificate of service must be filed by movant.
(d) Sale Report. Movant must file a notice of consummation and sale report within twenty-one (21) days of the sale’s closing.
Notes 2018: Amended LR requires a motion, notice, and hearing for all sales over $2,500 not in the ordinary course, as well as a notice of consummation and report of sale within twenty-one (21) days. Amendment also requires that notice of sale include copies of all applicable public record searches.
|Back to Local Rules list||Previous • Next|