Notice to the Bar and Public Regarding Government Shutdown with related General OrderClick here for document

Click here for document

UNITED STATES BANKRUPTCY COURT
DISTRICT OF NEW JERSEY

NOTICE TO THE BAR AND PUBLIC
REGARDING GOVERNMENT SHUTDOWN

Effective 12:01 a.m. Wednesday, October 1, 2025, attached please find the General Order which has been implemented, suspending bankruptcy cases and adversary proceedings involving the United States as a party.

This Order adjourns any hearing in which the Department of Justice (the United States Trustee or the United States Attorney) may need to appear. Parties seeking to move forward on any of these matters will need to contact chambers and if directed, file a motion to bring the matter before the Court on an emergent basis, or proceed as otherwise instructed.

While the Chapter 7 auto discharge program will be suspended during this time in order to allow for the filing of objections to discharge and dischargeability by the UST, other matters with respect to which, the United States is not a party, such as Chapter 13 confirmation hearings, will go forward.

Phase One of the Shutdown applies while the Courts still have an independent source of funding through filing fees, currently through October 17, 2025.

Regardless of funding, the Court will remain open and operational for the duration of this impasse, fulfilling its Constitutional mandate to provide equal access to justice.

If you have any general questions, please let the Deputy in Charge of the respective vicinage in Newark, Trenton and Camden know.

The Court will of course forward any guidance received from the AO or District Court in real time.

Thank you for your attention to this matter.

Dated: October 1, 2025 Jeanne A. Naughton, Clerk

UNITED STATES BANKRUPTCY COURT
DISTRICT OF NEW JERSEY

GENERAL ORDER OF THE UNITED STATES BANKRUPTCY COURT
FOR THE DISTRICT OF NEW JERSEY AS APPLIED TO
BANKRUPTCY CASES AND ADVERSARY PROCEEDINGS

The relief set forth on the following pages, numbered two (2) through three (3), is hereby ORDERED.

This matter is before the Court due to the lapse of Congressional appropriations funding the federal government, including the Department of Justice and the United States Attorney's Office for the District of New Jersey (the "U.S. Attorney's Office"). Absent an appropriation, the United States has represented to the United States District Court for the District of New Jersey ("District Court") that certain Department of Justice attorneys and employees of the federal government are prohibited from working, even on a voluntary basis, except in very limited circumstances, including "emergencies involving the safety of human life or the protection of property." 31 U.S.C. § 1342. Therefore, the lapse in appropriations requires a reduction in the workforce of the U.S. Attorney's Office and other federal agencies, particularly with respect to civil cases. The Court, in response, and with the intent to avoid any default or prejudice to the United States, debtors or other litigants, with respect to deadlines, motions or adversary proceedings which apply to, or may include the United States as a party, occasioned by the lapse of funding, enters this Order, it is hereby

ORDERED that, effective October 1, 2025, all litigation in a bankruptcy case or adversary proceeding pending in the United States Bankruptcy Court for the District of New Jersey ("Bankruptcy Court") involving as a party the United States of America, its agencies, and/or any other party represented by the Department of Justice or the United States Attorney's Office is immediately suspended, and held in abeyance continuing either (1) until the federal government is funded through congressional appropriation, or (2) for a period set forth by any relevant District Court Standing Order. This Order includes as to the United States, the Department of Justice, or the U.S. Attorney's Office, the suspension of all pending deadlines to file proofs of claim, objections to discharge, dischargeability, and confirmation of cases under Chapter 11 or Chapter 13 of the Bankruptcy Code for this period; and it is further

ORDERED that this order does not affect deadlines or other rights concerning motions, adversary proceedings, or appeals involving parties other than the United States; and it is further

IT IS FURTHER ORDERED that any litigant affected by this Order may seek relief from the Court by motion; and

FINALLY ORDERED that the Court may, in any particular matter, vary the effect or operation of this Order by separate ruling.

The Court may renew or modify this Order depending on developments during this period and incorporates by reference any relevant Standing Order entered by the District Court. Should any continued lapse in appropriations impact the ability of the judiciary to continue its operations, the Bankruptcy Court will follow the District Court's guidance and will enter any additional orders required to continue its operations in the most efficient manner.

The Court shall distribute this Order by:

a. Electronic mail to all registered CM/ECF users;

b. Mail to all self-represented debtors in a bankruptcy case;

c. Mail to all self-represented plaintiffs and defendants in adversary proceedings; and

d. Posting the Order and a Notice to the Bar on the Court's website.

The Court shall clarify the status of affected matters and deadlines upon expiration of this period and dependent on the timing of the funding resolution or further order of this Court.