Who is a Bankruptcy Trustee?
A San Fracisco bankruptcy attorney addresses a question regarding a Bankruptcy Trustee
Question: Who is a bankruptcy trustee?
Answer: A bankruptcy trustee is a third party appointed by the bankruptcy court assigned to a bankruptcy case. It is the role of the bankruptcy trustee to be impartial and carry out any and all duties associated with the trust. Part of the duties of the bankruptcy trustee is to hold and manage the assets of the debtor for his or her creditors. When a bankruptcy is filed, either by an individual (as in a Chapter 7 bankruptcy) or by a company (as in a Chapter 13 bankruptcy filing) all of their property and/or assets become property of the bankruptcy estate. This bankruptcy estate is then managed by the bankruptcy trustee.
In the Chapter 7 bankruptcy filing scenario, a bankruptcy trustee is selected from a panel of trustees and is therefore sometimes referred to as a panel trustee. Whereas, in a Chapter 13 bankruptcy filing there is a permanent or standing trustee that is automatically assigned to manage the assets of the bankruptcy case.
In a bankruptcy filed under Chapter 11 of the United States Bankruptcy Code, a bankruptcy trustee is not used, rather the debtor manages the property of the bankruptcy case and the bankruptcy is therefore termed a “debtor in possession.”
As an aside, the bankruptcy trustee is not to be confused with a United States Trustee, an officer of the Department of Justice, who is in chage of the appointment of the bankruptcy trustees and other types of trustees.
If you have questions regarding bankruptcy in San Francisco or bankruptcy in the greater Bay Area please contact our San Francisco Bankruptcy Attorneys at (415) 946-8882 for a free consultation or visit www.bkanswers.com and we can connect you with one of our experienced San Francisco Bankruptcy Attorneys. After you have spoken with one of our Bay Area bankruptcy attorneys, we can schedule you for a free face to face appointment in an office location nearest you. Our team of Bankruptcy Lawyers, Bankruptcy Customer Care Specialists and Bankuptcy staff supporting San Francisco and Bay Area consumers in debt can assist you with all aspects of your bankruptcy or bankruptcy litigation case. If you have questions about filing a Chapter 7 bankruptcy, a Chapter 11 bankruptcy, a Chapter 13 bankruptcy, or would like to learn more about bankruptcy litigation, legal debt settlement, mortgage modification, lien stripping, cram down, stopping a foreclosure, wage garnishment, asset protection, discharging a debt, etc. we can help! We have bankruptcy attorneys located throughout California and Oregon who can assist you with all of your debt resolution questions. Please feel free to complete our free online bankruptcy evaluation and we can quickly determine if you are a qualified candidate for bankruptcy. We look forward to hearing from you, San Francisco Bay Area!
