Temple City Bankruptcy Attorney, Bankruptcy Lawyer, Bankruptcy Code 11 USC Section 306

TITLE 11 - BANKRUPTCY
CHAPTER 3 - CASE ADMINISTRATION
    SUBCHAPTER I - COMMENCEMENT OF A CASE

-HEAD-
    Sec. 306. Limited appearance

-STATUTE-
      An appearance in a bankruptcy court by a foreign representative
    in connection with a petition or request under section 303 or 305
    of this title does not submit such foreign representative to the
    jurisdiction of any court in the United States for any other
    purpose, but the bankruptcy court may condition any order under
    section 303 or 305 of this title on compliance by such foreign
    representative with the orders of such bankruptcy court.

-SOURCE-
    (Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2561; Pub. L. 109-8, title
    VIII, Sec. 802(d)(5), Apr. 20, 2005, 119 Stat. 146.)


                       HISTORICAL AND REVISION NOTES                   

                         SENATE REPORT NO. 95-989                     
      Section 306 permits a foreign representative that is seeking
    dismissal or suspension under section 305 of an ancillary case or
    that is appearing in connection with a petition under section 303
    or 304 to appear without subjecting himself to the jurisdiction of
    any other court in the United States, including State courts. The
    protection is necessary to allow the foreign representative to
    present his case and the case of the foreign estate, without
    waiving the normal jurisdictional rules of the foreign country.
    That is, creditors in this country will still have to seek redress
    against the foreign estate according to the host country's
    jurisdictional rules. Any other result would permit local creditors
    to obtain unfair advantage by filing an involuntary case, thus
    requiring the foreign representative to appear, and then obtaining
    local jurisdiction over the representative in connection with his
    appearance in this country. That kind of bankruptcy law would
    legalize an ambush technique that has frequently been rejected by
    the common law in other contexts.
      However, the bankruptcy court is permitted under section 306 to
    condition any relief under section 303, 304, or 305 on the
    compliance by the foreign representative with the orders of the
    bankruptcy court. The last provision is not carte blanche to the
    bankruptcy court to require the foreign representative to submit to
    jurisdiction in other courts contrary to the general policy of the
    section. It is designed to enable the bankruptcy court to enforce
    its own orders that are necessary to the appropriate relief granted
    under section 303, 304, or 305.

                                AMENDMENTS                            
      2005 - Pub. L. 109-8 struck out ", 304," after "section 303" in
    two places.

                     EFFECTIVE DATE OF 2005 AMENDMENT                 
      Amendment by Pub. L. 109-8 effective 180 days after Apr. 20,
    2005, and not applicable with respect to cases commenced under this
    title before such effective date, except as otherwise provided, see
    section 1501 of Pub. L. 109-8, set out as a note under section 101
    of this title.

-End-
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