Issue link: https://mbozikis.ufcontent.com/i/1422521
49 C. Procedural Matters 1. Bankruptcy Petition As described above, a bankruptcy case, whether voluntary or involuntary, is commenced by the filing of a petition with the clerk of the bankruptcy court. The date on which the petition is filed is commonly referred to as the "petition date," 18 and the time periods preceding and following the petition date are often described as the "prepetition" period and the "postpetition" period, respectively. Another term that is often used in the bankruptcy context is "date of the order for relief." 19 This phrase refers generally to the date on which the bankruptcy case is deemed legally effective. In a voluntary case, use of the terms "petition date" and "date of the order for relief" refer to the same date; as stated above, the filing of a voluntary petition constitutes the order for relief under the Chapter under which the petition is filed. In an involuntary bankruptcy case, however, the order for relief will only be entered if (and when) (i) the debtor consents to or does not timely challenge the filing of the petition or (ii) following a trial, the court finds that there are sufficient grounds to sustain the petition. Accordingly, there will be a delay between the petition date and the date of the order for relief in an involuntary case (this is sometimes referred to as the "gap period"). It is important to distinguish between the petition date and the date of the order for relief because certain provisions of the Bankruptcy Code are keyed to the former, whereas others are keyed to the latter. For example, the filing of the petition triggers the automatic stay under Section 362, creates the bankruptcy estate under Section 541 and fixes the date as of which the trustee has the 18 The phrase "commencement of the case" is another way of referring to the petition date. 19 As per the Bankruptcy Code's rules of construction, "order for relief" means entry of an order for relief. 11 U.S.C. ยง 102(6). If the court orders relief orally, but does not enter a written order until a later time, any time periods under the Bankruptcy Code, Bankruptcy Rules and local bankruptcy rules are measured from the time of entry of the written order, not from the time of the oral order.