---
kind: "section"
citation: "11 U.S.C. § 1194"
title: "11"
title_heading: "Bankruptcy"
number: "1194"
heading: "Payments"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/11/1194"
units:
  - "Chapter 11 — Reorganization"
  - "Subchapter V — Small Business Debtor Reorganization"
---

# §1194. Payments

- (a) **Retention and Distribution by Trustee.—** Payments and funds received by the trustee shall be retained by the trustee until confirmation or denial of confirmation of a plan. If a plan is confirmed, the trustee shall distribute any such payment in accordance with the plan. If a plan is not confirmed, the trustee shall return any such payments to the [debtor](/usc/11/1182.md?p=1) after deducting—
  - (1) any unpaid [claim](/usc/11/101.md?p=5) allowed under [section 503(b) of this title](/usc/11/503.md?p=b);
  - (2) any payment made for the purpose of providing adequate protection of an interest in property due to the holder of a secured [claim](/usc/11/101.md?p=5); and
  - (3) any fee owing to the trustee.
- (b) **Other Plans.—** If a plan is confirmed under [section 1191(b) of this title](/usc/11/1191.md?p=b), except as otherwise provided in the plan or in the order confirming the plan, the trustee shall make payments to [creditors](/usc/11/101.md?p=10) under the plan.
- (c) **Payments Prior to Confirmation.—** Prior to confirmation of a plan, the court, after notice and a hearing, may authorize the trustee to make payments to the holder of a secured [claim](/usc/11/101.md?p=5) for the purpose of providing adequate protection of an interest in property.

## Source credit

(Added Pub. L. 116–54, § 2(a), Aug. 23, 2019, 133 Stat. 1084.)

## Notes

### Statutory Notes and Related Subsidiaries

### Effective Date

Section effective 180 days after Aug. 23, 2019, see section 5 of Pub. L. 116–54, set out as an Effective Date of 2019 Amendment note under section 101 of this title.