Replacement of bankruptcy trustee enables creditors' committee to initiate substitution subject to board recommendation and adjudicating appointment. Replacement of a bankruptcy trustee allows the Committee of Creditors to propose substitution by a prescribed supermajority and apply to the Adjudicating Authority, which directs the Board to recommend a successor against whom no disciplinary proceedings are pending; the Authority then appoints the recommended trustee, the outgoing trustee must deliver possession and share information, the replaced trustee is released per statutory provision, and the new trustee must notify the bankrupt within seven days.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Replacement of bankruptcy trustee enables creditors' committee to initiate substitution subject to board recommendation and adjudicating appointment.
Replacement of a bankruptcy trustee allows the Committee of Creditors to propose substitution by a prescribed supermajority and apply to the Adjudicating Authority, which directs the Board to recommend a successor against whom no disciplinary proceedings are pending; the Authority then appoints the recommended trustee, the outgoing trustee must deliver possession and share information, the replaced trustee is released per statutory provision, and the new trustee must notify the bankrupt within seven days.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.