Salt Lake City Bankruptcy Lawyers

The Bankruptcy Trustee

A bankruptcy trustee will be appointed in any Utah Chapter 7 bankruptcy case. A trustee is a person that the bankruptcy court appoints to liquidate a debtor’s eligible property and assets. The bankruptcy trustee is an impartial person who is qualified to liquidate the property and then distribute the proceeds to creditors who have filed appropriate claims with the bankruptcy court.

What is the Role of the Chapter 7 Bankruptcy Trustee?

The primary role of a bankruptcy trustee in a Chapter 7 case is to liquidate the debtor’s non-exempt assets and property in such a way as to maximize the creditors’ return. The trustee will accomplish this by selling certain property and taking other actions which will result in an increased value of property and therefore more money for the creditors to recover. The trustee will then distribute the proceeds from liquidation and other measures to creditors depending upon their seniority in the Chapter 7 bankruptcy case.

It is important to note that many Chapter 7 bankruptcy cases are actually what are called “no asset” cases, meaning that the debtor either does not have any property or assets to liquidate – or that all of the debtor’s property is exempt from liquidation.

Consult a Salt Lake City Bankruptcy Attorney

A bankruptcy attorney will play a major role in working to protect your property and assets in a Chapter 7 bankruptcy case. For this reason, it is important that you consult a Salt Lake City bankruptcy attorney at the Stone Law Firm as soon as you can. If you are looking at your options or if you have already decided that bankruptcy will be the best choice for your particular situation, a lawyer at our firm can help you through the process and can take action to protect your property from liquidation.

Contact a Salt Lake City bankruptcy lawyer at our firm today to find out more about what a bankruptcy trustee does and how we can help to protect your assets during your Chapter 7 case.