Chapter 13 Trustee Duties, Powers, And Limitations – Part 6

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

When do the trustee’s duties end, and who gets the money?

Harris v. Viegelahn, 135 S. Ct. 1829 (2015). This opinion of the unanimous Court requires the trustee to return to the debtor undistributed plan payments—originating from wages earned postpetition—on hand at a good-faith, post-confirmation conversion rather than distributing the funds to creditors. The practical effect of that ruling was that the debtor’s creditors as well as the remaining chapter 13 attorney’s . . .

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