Trustee in bankruptcy


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Trustee in bankruptcy

An appointed trustee who supervises and administers the affairs of a bankrupt company or individual.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Trustee In Bankruptcy

A court- or government-appointed person who manages assets in bankruptcy. In the United States, trustees in bankruptcy have different duties depending on the type of bankruptcy filed. In Chapter 7 bankruptcy, the trustee liquidates all non-exempt assets and distributes the proceeds to creditors according to bankruptcy law and the court's directions. In Chapter 13 bankruptcy, the trustee reviews the debtor's plans and collects and distributes payments to creditors. In Canada, trustees in bankruptcy hold assets in trust and distribute them to creditors according to the dictates of the Bankruptcy and Insolvency Act.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
References in periodicals archive ?
(47) If the answer is yes, the trustee in bankruptcy is authorized to bring the claim for the benefit of creditors as a group.
Tannenbaum, FCA, CIRP is a Trustee in Bankruptcy and President of Mintz & Partners Limited in Toronto, Ontario, Canada.
The federal Bankruptcy Act gives the bankruptcy court the power to set aside certain transfers made by the bankrupt, and put the property back into his estate, where the transfers are made for less than "reasonably equivalent value." In other words, if the bankrupt, the trustee in bankruptcy or a creditor was able to convince a bankruptcy judge that the bid accepted by the mortgagee was too low, such sale may be undone.
Brookhill Management Corporation, which specializes in turning around underperforming properties nationwide, was appointed by the Trustee in Bankruptcy of the United States Bankruptcy Court of the Southern District of New York to manage the Yorkville properties.
If an individual with a property worth pounds 100,000 and creditors of pounds 15,000 is made bankrupt, a trustee in bankruptcy will be appointed and will look to sell the property.
In Chapter 7 liquidation proceedings, a trustee in bankruptcy (not the United States Trustee) will evaluate and dispose of the debtor's unencumbered assets, if any.
Generally, if a tenant makes an assignment for the benefit of creditors or files for bankruptcy, the landlord has the right to (a) set off amounts held as security against the tenant's lease obligations and (b) reject the demands of the assignee and the trustee in bankruptcy for the return of the security deposit or prepaid rent.
For most people entering into bankruptcy, the over-riding concern will be `what about my home?' Bankruptcy puts all a bankrupt's assets (save for a few exceptions) under the control of the Official Receiver (OR) or Trustee in Bankruptcy and will need to be to be realised (sold) to pay the creditors.