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Withdrawing a Proof of Claim

Federal Rule of Bankruptcy Procedure 3006 governs the withdrawal of a claim. In a nutshell, the rule provides that if there has not been an objection to the subject claim, if a related adversary proceeding regarding the subject claim is not pending, and if in a chapter 11, 12, or 13 case the creditor holding the proof of claim has not filed an objection to the debtor's proposed plan or otherwise significantly participated in the case, the creditor may simply file a Notice of Withdrawal of Claim. However, if an objection to the subject claim has been filed, if a related adversary proceeding regarding the subject claim is pending, or if in a chapter 11, 12, or 13 case the creditor holding the subject claim has filed an objection to a proposed plan or otherwise significantly participated in the case, the creditor must seek the Court's approval, by motion, to withdraw the creditor's proof of claim. If a trustee filed a proof of claim on a creditor's behalf under Federal Rule of Bankruptcy Procedure 3004, the trustee also must seek the Court's approval to withdraw that proof of claim.

A Notice of Withdrawal of Claim may be filed in one of two ways.

  • Create a text entry in NextGen CM/ECF. An attorney for a creditor or limited use filer may use NextGen CM/ECF to create an entry on the docket that constitutes a Notice of Withdrawal of Claim. No paper document is created. The event may be found under Bankruptcy, Claim Actions, and then Notice of Withdrawal of Claim (Text Entry). Have handy the number of your original proof of claim. If you don't know the number of your original proof of claim, call the Bankruptcy Clerk at (605) 357-2400 or (605) 945-4460.
  • Prepare, date, and sign a Notice of Withdrawal of Claim and file it with the Bankruptcy Clerk. The Notice of Withdrawal of Claim should include the name of the debtor(s), the bankruptcy case number, and the number of the proof of claim being withdrawn. If you don't know the number of your proof of claim, call the Bankruptcy Clerk at (605) 357-2400 or (605) 945-4460. File the completed, dated, and signed Notice of Withdrawal of Claim as follows:

    (1) A creditor or an attorney for a creditor may electronically file a PDF of the completed, dated, and signed Notice of Withdrawal of Claim using the Court's ePOC system. No registration or password is needed to use ePOC. Click here to use ePOC.

    (2) An attorney for a creditor or a limited use filer may electronically file a PDF of the completed, dated, and signed Notice of Withdrawal of Claim using the Court's NextGen CM/ECF system. An attorney must use either ePOC (see above) or NextGen CM/ECF to electronically file a Notice of Withdrawal of Claim. Click here to learn more about NextGen CM/ECF and how to register to use it.

    (3) A creditor, but not an attorney for a creditor, may mail the completed, dated, and signed Notice of Withdrawal of Claim to the Bankruptcy Clerk (either office):

    Bankruptcy Clerk
    U.S. Courthouse
    400 South Phillips Avenue, Room 104
    Sioux Falls, South Dakota 57104-6851

    OR

    Bankruptcy Clerk
    U.S. Post Office & Federal Building
    225 South Pierre Street, Room 203
    Pierre, South Dakota 57501-2463

    (4) A creditor, but not an attorney for a creditor, may deliver the completed, dated, and signed Notice of Withdrawal of Claim to the Bankruptcy Clerk at one of the addresses above. Each office is open from 8:00 a.m. to 5:00 p.m. (Central), excluding weekends and federal holidays.

When Court approval of the withdrawal of a proof of claim is required, the creditor who filed the proof of claim or the creditor's attorney or the trustee must:

  • Prepare, sign, and date a Motion to Approve Withdrawal of Claim. If the creditor filing the proof of claim is a corporation, partnership, or other formal legal entity, an attorney for the legal entity must prepare, sign, and date the motion. An officer or employee of a formal legal entity may not do so;
  • Prepare, sign, and date a notice of the motion that conforms to local bankruptcy rule 2002-1(a) and Appendix 2A and that contains a last date for objections that is ten days after the date the notice is served;
  • Serve the motion and notice on parties in interest, as defined by local bankruptcy rule 9001-1(7), who are not electronically served by the Bankruptcy Clerk;
  • Prepare a certificate of service that conforms to Appendix 9D of the local bankruptcy rules; and
  • File the motion, the notice, and the certificate of service as follows:

    (1) An attorney for a creditor must electronically file a PDF of the completed, dated, and signed motion, notice, and certificate of service using the Court's NextGen CM/ECF system. Click here to learn more about NextGen CM/ECF and how to register to use it.

    (2) A creditor, but not an attorney for a creditor, may mail the completed, dated, and signed motion, notice, and certificate of service to the Bankruptcy Clerk (either office):

    Bankruptcy Clerk
    U.S. Courthouse
    400 South Phillips Avenue, Room 104
    Sioux Falls, South Dakota 57104-6851

    OR

    Bankruptcy Clerk
    U.S. Post Office & Federal Building
    225 South Pierre Street, Room 203
    Pierre, South Dakota 57501-2463

    (3) A creditor, but not an attorney for a creditor, may deliver the completed, dated, and signed motion, notice, and certificate of service to the Bankruptcy Clerk at one of the addresses above. Each office is open from 8:00 a.m. to 5:00 p.m. (Central), excluding weekends and federal holidays.