Chapter 13 Trustee Duties, Powers, And Limitations

Chapter 13 Trustee Duties, Powers, And Limitations – Part 4

By James J. Robinson, Chief United States Bankruptcy Judge, Northern District of Alabama

Exactly whose interests does the trustee represent, and when should the trustee object or move to modify?

Hope v. Acorn Financial, Inc., 731 F.3d 1189 (11th Cir. 2013). The Eleventh Circuit held that a chapter 13 trustee who was aware of defects with a secured claim before confirmation, but nonetheless recommended the plan be confirmed providing for the claim as secured, was bound by that plan treatment and could not seek to avoid the flawed lien post-confirmation . . .

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