San Marino Bankruptcy Attorney, Bankruptcy Lawyer, Bankruptcy Code 11 USC Section 701

TITLE 11 - BANKRUPTCY
CHAPTER 7 - LIQUIDATION
    SUBCHAPTER I - OFFICERS AND ADMINISTRATION

-HEAD-
    Sec. 701. Interim trustee

-STATUTE-
      (a)(1) Promptly after the order for relief under this chapter,
    the United States trustee shall appoint one disinterested person
    that is a member of the panel of private trustees established under
    section 586(a)(1) of title 28 or that is serving as trustee in the
    case immediately before the order for relief under this chapter to
    serve as interim trustee in the case.
      (2) If none of the members of such panel is willing to serve as
    interim trustee in the case, then the United States trustee may
    serve as interim trustee in the case.
      (b) The service of an interim trustee under this section
    terminates when a trustee elected or designated under section 702
    of this title to serve as trustee in the case qualifies under
    section 322 of this title.
      (c) An interim trustee serving under this section is a trustee in
    a case under this title.

-SOURCE-
    (Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2604; Pub. L. 99-554, title
    II, Sec. 215, Oct. 27, 1986, 100 Stat. 3100.)


                       HISTORICAL AND REVISION NOTES                   

                          LEGISLATIVE STATEMENTS                      
      The House amendment deletes section 701(d) of the Senate
    amendment. It is anticipated that the Rules of Bankruptcy Procedure
    will require the appointment of an interim trustee at the earliest
    practical moment in commodity broker bankruptcies, but no later
    than noon of the day after the date of the filing of the petition,
    due to the volatility of such cases.

                         SENATE REPORT NO. 95-989                     
      This section requires the court to appoint an interim trustee.
    The appointment must be made from the panel of private trustees
    established and maintained by the Director of the Administrative
    Office under proposed 28 U.S.C. 604(e).
      Subsection (a) requires the appointment of an interim trustee to
    be made promptly after the order for relief, unless a trustee is
    already serving in the case, such as before a conversion from a
    reorganization to a liquidation case.
      Subsection (b) specifies that the appointment of an interim
    trustee expires when the permanent trustee is elected or designated
    under section 702.
      Subsection (c) makes clear that an interim trustee is a trustee
    in a case under the bankruptcy code.
      Subsection (d) provides that in a commodity broker case where
    speed is essential the interim trustee must be appointed by noon of
    the business day immediately following the order for relief.

                                AMENDMENTS                            
      1986 - Subsec. (a). Pub. L. 99-554 designated existing provisions
    as par. (1), substituted "the United States trustee shall appoint"
    for "the court shall appoint", "586(a)(1)" for "604(f)", "that is
    serving" for "that was serving", and added par. (2).

                     EFFECTIVE DATE OF 1986 AMENDMENT                 
      Effective date and applicability of amendment by Pub. L. 99-554
    dependent upon the judicial district involved, see section 302(d),
    (e) of Pub. L. 99-554, set out as a note under section 581 of Title
    28, Judiciary and Judicial Procedure.

-End-
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