The U.S. Trustee should be treated with utmost respect as should all of the employees that work in the Office of United States Trustee.
In layman’s terms, US Trustees are in-place to keep an eye on you and make sure that you are following all of the rules. Even though you may think the paperwork you are filling out is redundant or even though you may think that you don’t see why such details are necessary, don’t fight the system. Follow the rules and get everyone in the US Trustees office the paperwork they need and you will be ahead of the game.
Think of it this way. A US Trustee reviews your accounting, reviews, your budget, keeps an eye on your cash management, reviews motion’s you file to have things approved by the judge, attends Court Hearings, interviews you at your Creditors Hearing and ultimately reviews and comments on your reorganization plan. Stay on the good side of the US Trustee by filing everything timely and providing whatever information or answers to questions the US Trustee wants. Listen to what the US Trustee says and don’t improvise.
Follow the rules and you won’t have a problem. Get on the wrong track and you will see motions by the US Trustee to have your case dismissed, converted to a Chapter 7 (where you are kicked out and lose all control and all your assets are sold) or to have a Chapter 11 trustee run your business. Any way you look at it, following the rules is an absolute must and the alternative is deadly.
The US Trustee has a very important job to do and plays a critical role in a Chapter 11 Reorganization: Follow the rules and be on time with all of your filings.
Categorised in: Restructuring Experts Blog
This post was written by chbfidd1