The Section 341 Meeting of Creditors Requirements in Bankruptcy

One of the many obligations of a debtor after filing a bankruptcy petition is to attend the section 341 meeting of the creditors. This is a make or break moment for most bankruptcy cases. If your bankruptcy lawyer has properly prepared your bankruptcy petition, including the schedules, disclosures, and fees, it may be a very short inquisition. However, if your bankruptcy petition is deficient, or if all of the schedules and disclosures have not been filed, the section 341 creditors meeting is not the most discrete or appropriate place to find this out. In fact, if all of the proper information has not been provided to conduct the examination, the U.S. Trustee may continue your hearing, at best, and may even move to dismiss your case.

The U.S. Trustee is not one to be trifled with. The section 341 creditors meeting is not a judicial hearing, thus, the United States Trustee is to preside over the meeting. The judge is even prohibited from attending the 341 creditors meeting having to defer to the U.S. Trustee. B.C. §341, Bankruptcy Rule 2003 (b). Therefore, it is of utmost importance to be sure all documents and disclosures have been filed and are acceptable to the U .S. Trustee.

The section 341 meeting of creditors will be held between 20 and 50 days from the filing of the bankruptcy petition. It will be held at the courthouse or at a place assigned by the U.S. Trustee. The Clerk of the Court will provide at least 20 days notice, usually more, of the 341 meeting of creditors to the debtor, debtor’s bankruptcy attorney, the trustee, all secured and unsecured creditors, and other interested parties. The notice of 341 creditors meeting is comprehensive. It will include notice of the order for relief, B.C. 342, notice of the automatic stay, B.C. 362(a), and notice of the final dates for claims, complaints, and objections to discharge to be filed.

Essentially, every interested party gets to ask questions of the debtor. It is the purpose of the 341 creditors meeting to provide opportunity for creditors, the trustee, or other appointed or interested parties to examine the debtor under oath. Bankruptcy Code section 343. Normal questions can be about location and existence of property, exemptions, facts related to secured or non-dischargeable debt, debtors reasons for filing, and goals of reorganization.

There are many things that can go wrong at a 341 meeting of creditors, and even more that can happen to complicate a bankruptcy case. It is essential to file and prepare properly. There is no reason to attempt to understand the nuances of the 341 meeting of creditors and bankruptcy law. A qualified bankruptcy lawyer is affordable and invaluable. Payment plans are available and the consultation is free. GET FREE HELP NOW from a quality, experienced bankruptcy attorney.