US Code

Public Law 119-73 (01/23/2026)

11 U.S.C. § 1225

Confirmation of plan

(a)
Except as provided in subsection (b), the court shall confirm a plan if—
(1)
the plan complies with the provisions of this chapter and with the other applicable provisions of this title;
(2)
any fee, charge, or amount required under chapter 123 of title 28, or by the plan, to be paid before confirmation, has been paid;
(3)
the plan has been proposed in good faith and not by any means forbidden by law;
(4)
the value, as of the effective date of the plan, of property to be distributed under the plan on account of each allowed unsecured claim is not less than the amount that would be paid on such claim if the estate of the debtor were liquidated under chapter 7 of this title on such date;
(5)
with respect to each allowed secured claim provided for by the plan—
(A)
the holder of such claim has accepted the plan;
(B)
(i)
the plan provides that the holder of such claim retain the lien securing such claim; and
(ii)
the value, as of the effective date of the plan, of property to be distributed by the trustee or the debtor under the plan on account of such claim is not less than the allowed amount of such claim; or
(C)
the debtor surrenders the property securing such claim to such holder;
(6)
the debtor will be able to make all payments under the plan and to comply with the plan; and
(7)
the debtor has paid all amounts that are required to be paid under a domestic support obligation and that first become payable after the date of the filing of the petition if the debtor is required by a judicial or administrative order, or by statute, to pay such domestic support obligation.
(b)
(1)
If the trustee or the holder of an allowed unsecured claim objects to the confirmation of the plan, then the court may not approve the plan unless, as of the effective date of the plan—
(A)
the value of the property to be distributed under the plan on account of such claim is not less than the amount of such claim;
(B)
the plan provides that all of the debtor’s projected disposable income to be received in the three-year period, or such longer period as the court may approve under section 1222(c), beginning on the date that the first payment is due under the plan will be applied to make payments under the plan; or
(C)
the value of the property to be distributed under the plan in the 3-year period, or such longer period as the court may approve under section 1222(c), beginning on the date that the first distribution is due under the plan is not less than the debtor’s projected disposable income for such period.
(2)
For purposes of this subsection, “disposable income” means income which is received by the debtor and which is not reasonably necessary to be expended—
(A)
for the maintenance or support of the debtor or a dependent of the debtor or for a domestic support obligation that first becomes payable after the date of the filing of the petition; or
(B)
for the payment of expenditures necessary for the continuation, preservation, and operation of the debtor’s business.
(c)
After confirmation of a plan, the court may order any entity from whom the debtor receives income to pay all or any part of such income to the trustee.

Pub. L. 99–554, title II, § 255100 Stat. 3110Pub. L. 103–65, § 1107 Stat. 311Pub. L. 105–277, div. C, title I, § 149(a)112 Stat. 2681–610Pub. L. 106–5, § 1(1)113 Stat. 9Pub. L. 106–70, § 1113 Stat. 1031Pub. L. 107–8, § 1115 Stat. 10Pub. L. 107–17, § 1115 Stat. 151Pub. L. 107–170, § 1116 Stat. 133Pub. L. 107–171, title X, § 10814(a)116 Stat. 532Pub. L. 107–377, § 2(a)116 Stat. 3115Pub. L. 108–73, § 2(a)117 Stat. 891Pub. L. 108–369, § 2(a)118 Stat. 1749Pub. L. 109–8, title II119 Stat. 52Pub. L. 116–260, div. N, title III, § 320(d)134 Stat. 2016(Added and amended , title III, § 302(f), , , 3124; , , ; , , ; , (2), , ; , , ; , , ; , , ; , , ; , , ; , , ; , , ; , , ; , §§ 213(5), 218, title X, §§ 1001(a)(1), (c), 1006(a), , , 55, 185–187; , (f)(2)(A)(iv), , , 2017.)

Editorial Notes

Codification

section 1201 of this titleFor repeal of section effective , and subsequent reenactment of section, see note set out preceding .

Amendments

Pub. L. 116–260, § 320(f)(2)(A)(iv)Pub. L. 116–260, § 320(d)section 1222(a)(2) of this titlesection 503(b)(10) of this title2020—Subsec. (d). , contingent on its addition by , struck out subsec. (d) which read as follows: “Notwithstanding and subsection (b)(1) of this section, a plan that provides for payment of a claim of a kind specified in may be confirmed if the plan proposes to make payments on account of such claim when due under the terms of the loan giving rise to such claim.”

Pub. L. 116–260, § 320(d), added subsec. (d).

Pub. L. 109–8, § 213(5)2005—Subsec. (a)(7). , added par. (7).

Pub. L. 109–8, § 1006(a)Subsec. (b)(1)(C). , added subpar. (C).

Pub. L. 109–8, § 218Subsec. (b)(2)(A). , inserted “or for a domestic support obligation that first becomes payable after the date of the filing of the petition” after “dependent of the debtor”.

Statutory Notes and Related Subsidiaries

Effective and Termination Dates of 2020 Amendment

section 320(d) of div. N of Pub. L. 116–260section 636(a) of Title 15section 320(f)(2)(A)(iv) of div. N of Pub. L. 116–260section 320(f) of Pub. L. 116–260section 364 of this titleAmendment by effective on the date on which the Administrator of the Small Business Administration submits to the Director of the Executive Office for United States Trustees a written determination relating to loan eligibility under pars. (36) and (37) of , Commerce and Trade, and applicable to any case pending on or commenced on or after such date, and amendment by , relating to repeal of such amendment if it became effective, effective two years after , see , set out as a note under .

15 U.S.C. 636(a)(36)(A)(iii)[Pursuant to , the “covered period” for loans under the Paycheck Protection Program ended on .]

Effective Date of 2005 Amendment

Pub. L. 109–8section 1501 of Pub. L. 109–8section 101 of this titleAmendment by sections 213(5), 218, and 1006(a) of effective 180 days after , and not applicable with respect to cases commenced under this title before such effective date, except as otherwise provided, see , set out as a note under .

Effective Dates

section 1001(a)(2) of Pub. L. 109–8section 1201 of this titlesection 1201 of this titlePermanent reenactment of section effective , see , set out as a Repeal, Reenactment, and Termination of Chapter note under . For effective dates of section and amendments extending periods for which section was reenacted prior to permanent reenactment, see Effective Date and Effective Date of 1999, 2001, 2002, 2003, and 2004 Amendment notes set out under .