The Bankruptcy Abuse Prevention and Consumer Protection Act of 2005 is effective on October 17, 2005. Evictions will no longer be stopped by the Tenant's bankruptcy if the landlord obtained a judgment of possession against the tenant before he filed bankruptcy.

In addition, the automatic stay can be lifted if a landlord certifies that he is seeking a termination of a rental agreement based on illegal drug use or endangering property 30 days prior, unless the debtor files a response and requests a hearing. Under the old law, a bankrupt corporation that had a commercial lease had 60 days to decide whether to assume or reject a lease after filing for bankruptcy.

Extensions could be granted by a court for one year or even more. The new law lengthens the decision-making timeframe to 120 days, with the option to request a 90-day extension for cause. However, after 210 days, no additional extensions can be granted without the landlord's consent.

If the corporation doesn't decide within the 210-day period, the lease will be automatically rejected.