United States Trustee
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The United States Trustee Program is a component of the
United States Department of Justice The United States Department of Justice (DOJ), also known as the Justice Department, is a federal executive department of the United States government tasked with the enforcement of federal law and administration of justice in the United State ...
that is responsible for overseeing the
administration Administration may refer to: Management of organizations * Management, the act of directing people towards accomplishing a goal ** Administrative assistant, Administrative Assistant, traditionally known as a Secretary, or also known as an admini ...
of
bankruptcy Bankruptcy is a legal process through which people or other entities who cannot repay debts to creditors may seek relief from some or all of their debts. In most jurisdictions, bankruptcy is imposed by a court order, often initiated by the debtor ...
cases and private
trustees Trustee (or the holding of a trusteeship) is a legal term which, in its broadest sense, is a synonym for anyone in a position of trust and so can refer to any individual who holds property, authority, or a position of trust or responsibility to t ...
. The applicable
federal law Federal law is the body of law created by the federal government of a country. A federal government is formed when a group of political units, such as states or provinces join in a federation, delegating their individual sovereignty and many po ...
is found at and , et seq. In addition to the twenty-one United States Trustees, the program is administered by the Executive Office for U.S. Trustees (EOUST), located in
Washington, D.C. ) , image_skyline = , image_caption = Clockwise from top left: the Washington Monument and Lincoln Memorial on the National Mall, United States Capitol, Logan Circle, Jefferson Memorial, White House, Adams Morgan, ...
, and 95 field offices. The United States Trustee is the federal official charged with enforcing civil bankruptcy laws in the United States.


Overview

The
United States Attorney General The United States attorney general (AG) is the head of the United States Department of Justice, and is the chief law enforcement officer of the federal government of the United States. The attorney general serves as the principal advisor to the p ...
generally appoints a separate United States Trustee for each of twenty-one geographical regions for a five-year term. Each United States Trustee is removable from office by and works under the general supervision of the
Attorney General In most common law jurisdictions, the attorney general or attorney-general (sometimes abbreviated AG or Atty.-Gen) is the main legal advisor to the government. The plural is attorneys general. In some jurisdictions, attorneys general also have exec ...
(see and ). Each United States Trustee, an officer of the Department of Justice, is responsible for maintaining and supervising a panel of private trustees for Chapter 7 bankruptcy cases (see ). The United States Trustee has other duties including the oversight of administration of most bankruptcy cases and trustees (see generally ). Each of the twenty-one regional U.S. Trustees maintains an office in each
judicial district A judicial district or legal district denotes the territorial area for which a legal court (usually a district court) has jurisdiction. By region Europe Austria In texts concerning Austria, "judicial district" (german: Gerichtsbezirk) refers ...
within the trustee's region, except for
Alabama (We dare defend our rights) , anthem = "Alabama (state song), Alabama" , image_map = Alabama in United States.svg , seat = Montgomery, Alabama, Montgomery , LargestCity = Huntsville, Alabama, Huntsville , LargestCounty = Baldwin County, Al ...
and
North Carolina North Carolina () is a state in the Southeastern region of the United States. The state is the 28th largest and 9th-most populous of the United States. It is bordered by Virginia to the north, the Atlantic Ocean to the east, Georgia and So ...
, which are not administered by the U.S. Trustee program, but utilize what is called the bankruptcy administrator, performing a similar function to the U.S. Trustee. The U.S. Trustee does not have prosecution powers, but is required by law to refer information regarding potential
criminal In ordinary language, a crime is an unlawful act punishable by a state or other authority. The term ''crime'' does not, in modern criminal law, have any simple and universally accepted definition,Farmer, Lindsay: "Crime, definitions of", in Can ...
violations of bankruptcy laws to the
United States Attorney United States attorneys are officials of the U.S. Department of Justice who serve as the chief federal law enforcement officers in each of the 94 U.S. federal judicial districts. Each U.S. attorney serves as the United States' chief federal c ...
.
Interim trustee Interim trustee is a term of art in section 701 of the Bankruptcy Code, Title 11 of the United States Code. When a case under Chapter 7 of the Code is commenced, the United States Trustee The United States Trustee Program is a component of the ...
s serve by the U.S. Trustee's appointment in Chapter 7 cases. Generally the interim trustee is assigned at random from a "panel" of qualified individuals at the time a bankruptcy case is filed, and is automatically appointed as the "permanent" case trustee after the first meeting of creditors. Due to the relative infrequency of filing of petitions for
Chapter 12 Chapter 12 of Title 11 of the United States Code, or simply chapter 12, is a chapter of the Bankruptcy Code. It is similar to Chapter 13 in structure, but it offers additional benefits to farmers and fishermen in certain circumstances, beyond th ...
(family farmer debt adjustment) relief, trustees for these cases are typically appointed on an ''
ad hoc Ad hoc is a Latin phrase meaning literally 'to this'. In English, it typically signifies a solution for a specific purpose, problem, or task rather than a generalized solution adaptable to collateral instances. (Compare with ''a priori''.) Com ...
'' basis. Each judicial district has one or more Standing
Chapter 13 Title 11 of the United States Code sets forth the statutes governing the various types of relief for bankruptcy in the United States. Chapter 13 of the United States Bankruptcy Code provides an individual with the opportunity to propose a plan of ...
Trustees. The Standing Trustees are responsible for the administration of all Chapter 13 cases filed in their judicial district. If for any reason all panel and/or standing trustees are disqualified or unable to perform, the U.S. Trustee may serve as trustee for a particular case under Chapter 7, 12 or 13. This very rarely happens. The U.S. Trustee's office conducts the first meeting of creditors in a
Chapter 11 Chapter 11 of the United States Bankruptcy Code (Title 11 of the United States Code) permits reorganization under the bankruptcy laws of the United States. Such reorganization, known as Chapter 11 bankruptcy, is available to every business, wheth ...
case. Most Chapter 11's do not require the appointment of a trustee: however, in those cases which do, the U.S. Trustee oversees the appointed trustee's handling of the case and, for good cause, can seek the removal or replacement of the trustee. The U.S. Trustee may not, however, serve as the case trustee in Chapter 11. Along with the creditors committees, the U.S. Trustee acts as the primary "watchdog" to ensure compliance with the Bankruptcy Code in cases where no trustee has been appointed. Accounting staffers within the Trustee's office review all debtor filings, and monitor trustee and attorney fees in all cases. Attorneys employed by the Trustee represent the office in
United States bankruptcy court United States bankruptcy courts are courts created under Article I of the United States Constitution. The current system of bankruptcy courts was created by the United States Congress in 1978, effective April 1, 1984. United States bankruptcy c ...
and pursue civil sanctions for some egregious violations of the law in Chapter 7, 12 and 13 cases.


Executive Office for United States Trustees

The Executive Office for United States Trustees (EOUST) is part of The
United States Department of Justice The United States Department of Justice (DOJ), also known as the Justice Department, is a federal executive department of the United States government tasked with the enforcement of federal law and administration of justice in the United State ...
(DOJ). The EOUST is the component of the Department of Justice responsible for overseeing the administration of bankruptcy cases and private trustees. The responsibility of the EOUST as the top level office controlling DOJ attorneys who monitor conduct in
U.S. Bankruptcy Court United States bankruptcy courts are courts created under Article I of the United States Constitution. The current system of bankruptcy courts was created by the United States Congress in 1978, effective April 1, 1984. United States bankruptcy c ...
s is analogous to that of The Executive Office for United States Attorneys (EOUSA) as responsible for prosecutors of the DOJ. The current Acting Director of the Office is Ramona D. Elliott, who assumed the role on April 1, 2022, following the retirement of longtime Director Clifford J. White III. In contract with the EOUSA, the EOUST maintains indirect publicity and refers to its offices as the "U.S. Trustee Program".


Criminal referral

When a government attorney working at the EOUST or any of its regional or field offices observes or suspects any criminal activity, it must be referred to the United States Attorney's Office in the District in which the suspected crime occurred. The official policy of the EOUST is to include a review of such criminal referrals as part of the employee evaluation for each DOJ attorney employed as a U.S. Trustee.


See also

*
Bankruptcy in the United States In the United States, bankruptcy is largely governed by federal law, commonly referred to as the "Bankruptcy Code" ("Code"). The United States Constitution (Article 1, Section 8, Clause 4) authorizes Congress to enact "uniform Laws on the sub ...


References


External links

* {{authority control
Trustee Trustee (or the holding of a trusteeship) is a legal term which, in its broadest sense, is a synonym for anyone in a position of trust and so can refer to any individual who holds property, authority, or a position of trust or responsibility to t ...
United States bankruptcy law