---
kind: "section"
citation: "24 C.F.R. § 401.101"
title: "24"
number: "401.101"
heading: "Which owners are ineligible to request Restructuring Plans?"
url: "https://uscodex.org/cfr/24/401.101"
---

# §401.101. Which owners are ineligible to request Restructuring Plans?

- (a) **Mandatory rejection.** The request of an owner of an eligible project will not be considered for a Restructuring Plan if the owner is debarred or suspended under [2 CFR part 2424](/cfr/2/part2424.md).
- (b) **Discretion to reject.** HUD may also decide not to accept a request for a Restructuring Plan if:
  - (1) An affiliate is debarred or suspended under [2 CFR part 2424](/cfr/2/part2424.md); or
  - (2) HUD notifies the owner that HUD is engaged in a pending suspension, debarment or other enforcement action against an owner or affiliate, and the grounds for the pending action are included in [§ 401.403(b)(2)(ii)](/cfr/24/401.403.md?p=b-2-ii).
- (c) **Exception for sale.** This section does not apply if a sale or transfer of the property is proposed in accordance with [§ 401.480](/cfr/24/401.480.md).
- (d) **Notice to tenants.** The PAE or HUD will give notice to tenants of a rejection in accordance with §§ [401.500(f)(2)](/cfr/24/401.500.md?p=f-2), [401.501](/cfr/24/401.501.md), and [401.502](/cfr/24/401.502.md).

## Notes

### Amendments

[65 FR 15485, Mar. 22, 2000, as amended at 72 FR 66038, Nov. 26, 2007; 72 FR 73496, Dec. 27, 2007]

### Authority

Authority: 12 U.S.C. 1715z-1 and 1735f-19(b); 42 U.S.C. 1437(c)(8), 1437f(t), 1437f note, and 3535(d).

### Source

Source: 65 FR 15485, Mar. 22, 2000, unless otherwise noted.

### Amendments

[65 FR 15485, Mar. 22, 2000, as amended at 72 FR 66038, Nov. 26, 2007; 72 FR 73496, Dec. 27, 2007]