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Chapter 11 Quarterly Fees

Under 28 U.S.C. §§ 1930(a)(6) and (a)(7), a quarterly fee shall be paid in each case under chapter 11 (except small business cases under subchapter V of chapter 11) for each calendar quarter, or portion thereof, between the date a bankruptcy petition is filed and the date the court enters a final decree closing the case, dismisses the case, or converts the case to another chapter in bankruptcy.


Quarterly Fee Calculation

The quarterly fee is calculated by totaling the reported disbursements for the three-month calendar quarter, or portion thereof, according to the fee schedules shown below.  The applicable minimum fee is due even if there were no disbursements during a calendar quarter.  During the post-confirmation period, fees are calculated on plan payments and operational disbursements.  


Fee Schedule For Calendar Quarters Beginning April 1, 2021 Through March 31, 2026

The Bankruptcy Administration Improvement Act of 2020, Pub. L. No. 116-325, enacted on January 12, 2021, temporarily amended the calculation of chapter 11 quarterly fees for calendar quarters beginning April 1, 2021 through December 31, 2025, including pending cases. Under this amendment, the quarterly fee payable for a calendar quarter shall be the greater of: (1) 0.4% of disbursements or $250 for each quarter in which disbursements total less than $1,000,000, and (2) 0.8% of disbursements but not more than $250,000 for each quarter in which disbursements total at least $1,000,000. The following table displays the disbursement ranges and quarterly fees under the amended quarterly fee schedule for calendar quarters beginning April 1, 2021 through December 31, 2025. The Consolidated Appropriations Act, 2026, extended the effective date of this quarterly fee schedule through March 31, 2026. 

TOTAL QUARTERLY DISBURSEMENTS QUARTERLY FEE
$0 to $62,624 $250
$62,625 to $999,999 0.4% of quarterly disbursements*
$1,000,000 to $31,249,937 0.8% of quarterly disbursements*
$31,249,938 or more $250,000

*All Quarterly Fees must be rounded to the nearest whole dollar. If 49 cents or less, the fee paid should be rounded down to the nearest dollar, if 50 cents or more, the fee paid should be rounded up.


Fee Due Date

Quarterly fees are due no later than one month following the end of each calendar quarter until entry of the final decree or until the case is converted or dismissed.  Failure to pay the quarterly fee is cause for conversion or dismissal of the chapter 11 case pursuant to 11 U.S.C. § 1112(b)(4)(K). A debtor's failure to pay quarterly fees may result in a motion by the Bankruptcy Administrator to dismiss or convert the case to a chapter 7 case.
 


Payment Instructions

The Quarterly Fee Statement shall be filed with the Court prior to delivery of payment. Quarterly fee payments made by debtor check will not be accepted. Attorney trust account checks, cashier’s check, certified funds, or postal money orders will be accepted, made payable to the “Clerk, U.S. Bankruptcy Court.” The Debtor’s case number shall be written on the face of the payment document. Payments may be delivered to U.S. Bankruptcy Court, Middle District of North Carolina, 101 S. Edgeworth Street, Greensboro, NC 27401. Payment also may be made via attorney credit card through CM-ECF (preferred). You may contact our office with questions regarding quarterly fee payments.

The Quarterly Fee Statement should be completed and filed on the docket prior to delivery of the payment.