Official Procedure Last Change January 31, 2020
Motion to Sell
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How to file: Location of event: Bankruptcy > Motions, Applications & Briefs > Sell, Motion to |
General Information
- Per Local Rule S. D. Ind. B-6004-1 through 5, specific information must be included in a Motion to Sell, depending on the type of sale proposed.
- A motion to sell co-owned property is subject to the requirements of S. D. Ind. B-7001-2.
- A sale is under 11 USC Sec. 363(f) when existing liens are to be paid from the proceeds of the sale including sales in which existing liens are to attach to the sales proceeds pending further order of the Court. Unless the purchaser is assuming all liens or there are no existing liens, the sale is considered to be filed under both Section 363(b) and (f) and, therefore, the filing fee mentioned below is due.
- After completion of the sale, the filer must file a Report of Sale. (If the sale did not happen, a Report of Sale must still be filed.)
Filing requirements
- For motions to sell free and clear of liens, a filing fee applies (not applicable to corrected motions). If the trustee is filing the motion to sell and wishes to defer the filing fee, a Motion for Authority to Defer must be filed within 7 days.
- The Motion must be signed by the filing party.
- A Certificate of Service must accompany the Motion.
- Use of the appropriate Court's sample form is encouraged:
- The filing party is responsible for uploading a proposed order.
- A request for approval of bid procedures must be included in the Motion to Sell, not filed as a separate motion.
- A 21 day objection notice must be included with the Motion, unless the Motion is also requesting approval of bid procedures. If so, the objection notice, including proposed bid procedures must be reviewed by the Court before it is filed. Otherwise, the Notice may be included in the body of the Motion or filed separately using the Sell Notice with Certificate of Service event.
- Consult S. D. Ind. B-6004-1 through 4 for specific information that must be included in the motion. This information must also be included in the objection notice unless the motion itself is served on all creditors. See a summary of the requirements
- A separate Application to Employ is required for any professional, such as a real estate agent or auctioneer, who is arranging the sale.
Step-by-Step Instructions
If filing a Corrected Motion to Sell and you have already paid the filing fee for the original motion, use the instructions below to avoid being charged a duplicate filing fee.
1. Log into CM/ECF.
2. Select Bankruptcy > Motions, Applications & Briefs.
3. Enter case number (in the format xx-xxxxx) and click Next.
4. Select Sell, Motion to from the event list and click Next.
5. Select appropriate radio button to indicate whether or not the Motion you are filing is amended. Note that Yes should only be selected if the motion you are amending did not incur a filing fee, i.e., it was not docketed as Free and Clear of Liens. Otherwise, use the instructions below to avoid incurring a second filing fee.
6. Check box if jointly filing with another attorney. Click Next.
7. If you indicated that you are filing jointly with other attorney(s), select additional attorney(s) and click Next.
Note: You cannot add attorneys. Only attorneys who have previously entered an appearance will be available for selection.
8. Select the party filer. If the party is not listed, or cannot be selected, view instructions on adding a new party. Click Next.
Note: The "Attorney/Party Association” screen may appear. If your party selection was correct, check the box to create an association and click Next.
9. Browse to attach the document to be filed (pdf file). Click Next.
10. Select appropriate radio buttons regarding the type of motion and click Next. Which type of sale should I select?
11. If you selected sale with prospective purchaser but other bids to be considered as the type of sale, select the appropriate radio button under Does the motion include proposed bid procedures? then click Next.
12. If the category of sale you selected requires an objection notice to be filed, a notice indicating this is displayed. Select whether the notice is included or will
be filed separately and click Next.
13. If you indicated that the notice is included, the objection due date is calculated and displayed. Click Next, unless pending motions are also displayed (see next step).
14. If you indicated in step 5 that you are filing an amended motion, all pending motions on the docket are displayed. Select the motion that is being amended and click Next.
15. Select prefix text, if applicable, and click Next.
Note: The prefix text option is not available if you indicated in Step 5 that the Motion you are filing is amended.
16. Verify final docket text. If correct, click Next to submit.
Note: The Notice of Electronic Filing displays giving you the document number. Copies of this notice are immediately e-mailed to all participants who receive electronic notification in the case.
Step-by-Step Instructions to file a Corrected Motion
These instructions should only be used when filing a correction to an already-filed Motion to Sell, and only when the filing fee has already been paid.
1. Log into CM/ECF.
2. Select Bankruptcy > Motions, Applications & Briefs.
3. Enter case number (in the format xx-xxxxx) and click Next.
4. Select Sell, Motion to (Corrected - Fee Previously Paid) from the event list and click Next.
5. Do not change the Is this an amended motion? radio button to Yes - leave it selected to No.
6. Check box if jointly filing with another attorney. Click Next.
7. If you indicated that you are filing jointly with other attorney(s), select additional attorney(s) and click Next.
Note: You cannot add attorneys. Only attorneys who have previously entered an appearance will be available for selection.
8. Select the party filer. If the party is not listed, or cannot be selected, view instructions on adding a new party. Click Next.
Note: The "Attorney/Party Association” screen may appear. If your party selection was correct, check the box to create an association and click Next.
9. Browse to attach the document to be filed (pdf file). Click Next.
10. Click to select the Motion that your current filing is correcting and click Next.
11. Select appropriate radio buttons regarding the type of motion and click Next. Which type of sale should I select?
12. Enter receipt number from the original Motion (this is listed on the docket).
13. If you selected sale with prospective purchaser but other bids to be considered as the type of sale, select the appropriate radio button under Does the motion include proposed bid procedures? then click Next.
14. If the category of sale you selected requires an objection notice to be filed, a notice indicating this is displayed. Select whether the notice is included or will be filed separately and click Next.
15. If you indicated that the notice is included, the objection due date is calculated and displayed. Click Next, unless pending motions are also displayed (see next step).
16. Select prefix text, if applicable, and click Next. Do not choose Amended - the docket text will automatically show that your current Motion is a correction to a previously filed one.
17. Verify final docket text. If correct, click Next to submit.
Note: The Notice of Electronic Filing displays giving you the document number. Copies of this notice are immediately e-mailed to all participants who receive electronic notification in the case.
18. Upload proposed order if you have not already done so, or if you need to upload a corrected one.