Alert 11.12.26
Expanded Subchapter V Is Here to Stay: Debt Limit Raised to $7.5 Million and Sunset Provision Eliminated
On November 10, 2026, the Bankruptcy Threshold Adjustment Act (H.R. 7730) was signed into law, restoring the debt limit for eligibility under subchapter V of chapter 11 to $7.5 million from $3,424,000. Unlike prior increases, the Act has no sunset provision, making the higher threshold permanent.