General Bankruptcy

Key Players

Most bankruptcies have six central players:

Debtor

The Debtor is the person or entity who owes money and, ordinarily, the one who files for bankruptcy.

Debtor's Attorney

The Debtor’s attorney represents the Debtor.

Creditor

The Creditor is the person or entity that the Debtor owes money.

Bankruptcy Judge

The Bankruptcy Judge is a federal employee who decides disputes about the bankruptcy that arise between Debtors, Creditors, the trustee, the United States Trustee and others.

Trustee

The trustee is a private individual appointed by the United States Trustee to examine the Debtor under oath about his assets, debts, income, and expenses; collect property that the Debtor owns that may be used to pay Creditors; and disburse monies to Creditors. The trustee does not have the authority to decide disputes that arise in a bankruptcy. Trustees are always appointed in Chapter 7 and Chapter 13 bankruptcies, but ordinarily are not appointed in Chapter 11 bankruptcies.

The United States Trustee

The Office of the United States Trustee is a division of the United States Department of Justice. The mission of the United States Trustee is three-fold. First, the United States Trustee appoints, supervises and removes, where appropriate, trustees. Second, the United States Trustee guards the system against abuse and deception. Third, the United States Trustee reviews all cases and has the authority to be heard on any issue before the Bankruptcy Court.