Congress's first law on the subject was the Bankruptcy Act of 1800,[2] which was limited to traders and provided only for involuntary proceedings.
The Chandler Act gave authority to the Securities and Exchange Commission in the administration of bankruptcy filings.
Title IV provided for the repeal of pre-Code bankruptcy, the effective dates of portions of the new law, necessary savings provisions, interim housekeeping details, and the pilot program of the United States trustee.
The provisions of the 1978 Act came under scrutiny in the case of Northern Pipeline Co. v. Marathon Pipe Line Co., 458 U.S. 50, 102 S. Ct. 2858, 73 L. Ed.2d 598 [6 C.B.C.2d 785] (1982).
The jurisdictional challenge started when a creditor filed an adversary proceeding in bankruptcy court, which covered issues such as breach of contract, warranty, and misrepresentation.
Similarly, Section 241(a) of the Bankruptcy Reform Act of 1978, by establishing the jurisdictional provisions set forth in 28 U.S.C.
Although the constitutionality of the "emergency rule" was under constant attack, the Supreme Court consistently denied certiorari.
The effects of the 1978 Act on grain elevator bankruptcies were unpopular, leading to Wayne Cryts' protest.
In 1984, Congress implemented a "permanent" legislative solution to the issues addressed in Marathon by enacting the Bankruptcy Amendments and Federal Judgeship Act of 1984.
By this act, with few exceptions, such as the trial of personal injury and wrongful death claims and matters that require consideration of both Title 11 and organizations or activities affecting interstate commerce, the new bankruptcy courts were allowed to exercise all of the subject matter jurisdiction of the district courts.
Among other things, the law provided for the re-designation of separate units for bankruptcy judges under the district court system.
The Bankruptcy Judges, United States Trustees, and Family Farmer Bankruptcy Act of 1986 made substantive changes relating to family farmers and established a permanent United States trustee system.