If A Purpose Would Be Served: The Trustee’s Role In Objecting To Claims

By Phil Lamos, Chief Legal Counsel, Office of the Chapter 13 Trustee, Craig Shopneck, Cleveland, Ohio

Section 1302 of the Bankruptcy Code says that the Trustee shall object to “improper” proofs of claim, “if a purpose would be served.” But how can the Trustee make the determination that a proof of claim is improper? And when would objecting to a proof of claim serve a purpose? The answers to these questions go hand in hand when deciding whether or not to object to a proof of claim.

Absent the cooperation of the debtor, the Trustee can only determine . . .

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