NABT Annual Conference 2024

This session will cover common problems faced by Chapter 7 Trustees when assigned to administer a re-opened case. Topics will include: A brief overview of statutory and case law governing when a case should be re-opened; Rights of debtors after re-opening to amend schedules to add exemptions for previously unscheduled assets; Problems with claims and creditors including getting claims filed if no bar date was previously set, getting creditors who filed claims in a case now closed for years to accept new payments on claims and tracking down relocated creditors who have valid filed claims but have moved, been consolidated, been bought out or merged. We will discuss handbook standards for due diligence in tracking down creditors and varying practices in issuing unclaimed funds to court; Process, procedure and strategies for appointing and working with special counsel for real estate sales, mass-tort, product liability or other valuable injury claims and how to handle “net” proceeds paid to estate in re-opened cases including the issue of whether the Trustee is entitled to compensation on the constructive distribution of fees and expenses paid outside the bankruptcy case together with standards for court approval of settlements and particular challenges re-opened cases present.