FAQs: After Filing Bankruptcy
Trustee, Does Every Bankruptcy Case Have One?
A trustee is automatically appointed in every Chapter 7 and Chapter 13 bankruptcy case.
A trustee is not automatically appointed in a Chapter 11 bankruptcy case. Instead, the debtor acts as the “Debtor-in-Possession” and has many of the duties and rights that a trustee has. Creditors that need information about a Debtor-in-Possession should contact either the responsible officer of the debtor or the attorneys for the debtor. A trustee may be appointed if a debtor requests that one be appointed or another party files a motion and the court determines that a trustee should be in charge of managing the debtor’s affairs.
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Trustee, How Do I Find Out Who It Is In A Bankruptcy Case?
A) “Notice of Bankruptcy, 341(a) Meeting, Deadlines” – This notice is mailed by the clerk’s office promptly after a bankruptcy case is filed. The notice will contain the name, address, and telephone number of the trustee.
B) Electronic Docket (CM/ECF PACER) – The trustee is identified on the left side of the electronic docket for each bankruptcy case. Register for a CM/ECF PACER account.
C) Mailing Lists at the End of Papers Filed With the Court – When a party files a motion or other documents with the court, the party is generally required to mail a copy to the trustee in the bankruptcy case. Therefore, the trustee’s name and address will be shown on this “Service List.”
D) U.S. Trustee Website - Contact information for all trustees who serve in the Central District of California can be found on the website for U.S. Trustee, Region 16. This website will not list a particular bankruptcy case, but it should contain a trustee’s phone number which can be used for contact information.
341(A) Meeting Of Creditors, What Is It And Who Must Attend?
Trustee, What Is Their Role In A Bankruptcy Case?
Chapter 7 Bankruptcy Case – In a chapter 7 bankruptcy case, all of the debtor’s property belongs to the bankruptcy estate unless the court makes a ruling that certain property is no longer property of the estate, the trustee abandons property to the debtor, or the property is exempt under California law from collection by creditors. It is recommended to consult a bankruptcy attorney to determine what property is exempt. A trustee is appointed to take control of certain assets of the debtor, bring these assets into the estate, and sell or distribute these assets for the benefit of creditors. Some assets will remain with the debtor if these assets are determined to be exempt from distribution to creditors. A trustee can recover certain assets that were previously transferred and bring those assets into the bankruptcy estate. Neither a debtor nor any other person or business should use or transfer an asset that belongs to the bankruptcy estate unless there is an express court order or notice from the trustee.
Chapter 11 Bankruptcy Case – If a trustee is appointed in a chapter 11 bankruptcy case, a trustee will manage the affairs of the debtor and make all decisions about property of the estate. In that scenario the trustee will perform many of the same roles as a trustee in a chapter 7 case, except different deadlines and procedures apply. The trustee has the right to propose a plan of reorganization.
Chapter 13 Bankruptcy Case – In a chapter 13 bankruptcy case, all property remains property of the debtor unless the court orders otherwise. A trustee is appointed to collect payments, monitor activity in the case and to report to the court on how well a debtor is meeting its obligations. If a debtor is not meeting obligations, the trustee can ask the court to dismiss the bankruptcy case. If a debtor’s income rises, the trustee or a creditor can ask the court to increase amounts paid to creditors.
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