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As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe NowComments are requested by the federal judiciary from members of the public, judiciary and legal community on a set of proposed interim regulations for bankruptcy trustee payments.
The proposed interim regulations address the administration of a new payment for trustees serving in Chapter 7 bankruptcy cases under the Bankruptcy Administration Improvement Act of 2020.
That legislation, which became law in January 2021, added subsection (e) to 11 U.S.C. § 330 establishing a new judiciary payment for Chapter 7 trustees, funded by extra money in the U.S. Trustee System Fund.
The new payment supplements the existing $60 payments that bankruptcy courts make to trustees serving in Chapter 7 cases under section 330(b).
In order to make those payments, the director of the Administrative Office of the U.S. Courts is directed under the statute to issue regulations for administering the law.
“Trustees serving in cases filed under or converted to Chapter 7 from Jan. 12, 2021 to the end of fiscal year 2026, will be eligible to receive up to $60, depending on the availability of funds in the U.S. Trustee System Fund, for each case in which services were rendered,” the federal judiciary wrote in its request for public comment.
Interim regulations for administration of the new payment will go into effect on Sept. 30.
Comments may be submitted online no later than Sept. 17.
Instructions on how to submit comments may be found here and questions about the proposed regulations can be sent to [email protected].
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