The alignment with the European legislation requires continuous broadening of the knowledge of the liquidators,
bankruptcy trustees in particular.
While the new designation changes the name from
Bankruptcy Trustee to Licensed Insolvency Trustee, it does not change the duties, responsibilities and code of ethics that LIT's must adhere to in order to be licensed.
If a
bankruptcy trustee or chapter 11 debtor in possession elects to reject an unexpired lease, the tenant has the option under section 365(h) of the Bankruptcy Code of: (1) treating the lease as terminated; or (2) remaining in possession of the premises for the remaining term and any extensions or renewals.
Bankruptcy trustees usually argue that critical vendor status (and the associated payment of pre-bankruptcy invoices) negates the subsequent new value defense.
The suggested modifications also set terms within which action has to be taken within the framework of the bankruptcy proceedings and that in case of unjustified delays the
bankruptcy trustee may be relieved of duty.
She said: "Previous case law established that orders made under Family Law (Matrimonial Causes Act 1973) were exempt from challenges from
bankruptcy trustees when the order had been made within contested proceedings and before the bankruptcy petition had been presented.
In preparing both the estate's original and amended fiduciary income tax returns, the
bankruptcy trustee elected to take the one-time $125,000 exclusion of gain under prior law section 121.
Once the
bankruptcy trustee determines the applicable property exemptions, he or she assembles the debtor's nonexempt property to pay off creditors.
Johnson, the Supreme Court has determined that payments made to creditors by check may have to be returned to the
bankruptcy trustee -- even if the checks were received more than 90 days before a debtor's bankruptcy filing.
There are few companies - except for
bankruptcy trustees - which flourished during this past recession.
She is currently a member of the National Association of
Bankruptcy Trustees and Region 21 Trustee Association.
