Bankruptcy Lawyer New York


Bankruptcy Lawyer New York

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What Does A Bankruptcy Trustee Do?

By: SSLowery

Once you file bankruptcy, a court appointed bankruptcy trustee will oversee your case. The new law also requires that the bankruptcy petitioner to take a debtor education course and receive credit counseling from a U.S. Trustee approved non profit credit counseling agency.

United States Trustees supervise the administration of the following cases filed under the Federal Bankruptcy Code:

Liquidation proceedings under Chapter 7 bankruptcy- Those assets that are not exempt from creditors are collected and liquidated (reduced to money). The proceeds are distributed to creditors by a private trustee appointed to administer the debtor’s estate under Chapter 7.

“Wage-earner” reorganization proceedings under Chapter 13 bankruptcy, is used primarily by individual consumers to reorganize their financial affairs under a repayment plan that must be completed within three to five years. A “standing trustee” appointed by the United States Trustee typically serves as a trustee of the U.S. Bankruptcy Court where the case was filed.

Specific responsibilities of the United States Trustees include:

Appointing and supervising private trustees who administer Chapter 7, 12 and 13 bankruptcy estates (and serving as trustees in such cases where private trustees are unable or unwilling to serve).

Taking legal action to enforce the requirements of the Bankruptcy Code and to prevent fraud and abuse.

Referring matters for investigation and criminal prosecution when appropriate.

Ensuring that bankruptcy- estates are administered promptly and efficiently, and that professional fees are reasonable.

Appointing and convening creditors’ committees in Chapter 11 business reorganization cases.

Reviewing disclosure statements and applications for the retention of professionals.

Advocating matters relating to the Bankruptcy Code and rules of procedure in court.

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Keywords: bankruptcy info@bankruptcyhomecom, appointed bankruptcy trustee, trustee, bankruptcy a court, bankruptcy -, court appointed bankruptcy, bankruptcy, bankruptcy code, united states

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