What is a Chapter 7 trustee?
Upon the filing of the Chapter 7 petition, an impartial case trustee is appointed by the United States trustee to administer the case and liquidate the debtor’s nonexempt assets. The Chapter 7 trustee will preside over the meeting of creditors and determine whether there are any nonexempt assets available to liquidate for the benefit of creditors.
In the Jacksonville Division of the Middle District, there is a panel composed of eight different Chapter 7 trustees. It is a blind draw as to which trustee from the panel will be assigned to any given case. Each of eight Chapter 7 trustees have significant experience in bankruptcy law. It is the trustee’s responsibility to examine the debtor under oath and to review the paperwork filed with the court. It is the Chapter 7 trustee’s responsibility to convert into money the non-exempt assets of the debtor. After administrative expenses are paid, the remaining money is distributed to the creditors according to the Bankruptcy Code. Your attorney will explain your exemptions to you.
