Real Estate Transactions in Bankruptcy: Before and After the Bankruptcy Reform Act of 1978

pr~or to that date is subject to the provisions of the old act.As a consequence, the cases currently being heard include proceedings governed by the old act and those governed by the Bankruptcy Code.Eventually, cases decided under the old act will disappear, and then all judgments will be couched in terms of the Bankruptcy Code.3 Figures indicate that the number of persons taking advantage of the bankruptcy laws to gain a "fresh start" are increasing, 4 so the impact of the Bankruptcy Code provisions will be widespread.Not surprisingly, the complete overhaul of the Bankruptcy Code has produced many changes in both the procedural and substantive areas of the federal bankruptcy law.Until the new case law emerges more completely, the precise effect of the changes will remain unclear.This paper concerns real estate transactions and financing in the bankruptcy setting.More specifically, we will review the provisions relating to real estate reorganizations in bankruptcy, compare the current provisions with those existing under the old act, and examine how such real estate activity has been ana might be affected by the revised bankruptcy laws.-l -,.-,1) •I t'l" !'\ f 0. I '--' .. ) ~