The necessity to go to bankruptcy court Lawyer Manual

In bankruptcy cases filed by an individual debtor, the debtor is typically required to go to bankruptcy court in two instances:  (1) to attend the “Meeting of Creditors”, as required by Section 341(a) of the Bankruptcy Code (11 U.S.C. § 341(a)); and (2) to provide testimony at hearings concerning a contested matter.  In both instances, the debtor should ensure his or her attorney is present (if an attorney has been retained). 

Section 341 “Meeting of Creditors”

A note on virtual appearances after COVID: Although the meeting of creditors has historically taken place at the bankruptcy court, the U.S. Trustee’s office has recently permitted, and often requires, the meeting of creditors to occur virtually by Zoom.  Details regarding the location, date and time of the meeting of creditors—whether virtual or in-person—will be provided to the debtor by the U.S. Trustee’s office and/or the debtor’s attorney.  See Notice, U.S. Trustee Program to Implement Virtual Section 341 Meetings of Creditors Nationwide, U.S. Trustee Program (Aug. 24, 2023), available at https://www.justice.gov/ust/moc.

In Chapter 7 cases, the individual who filed for bankruptcy must attend a meeting of creditors, which is typically scheduled by the U.S. Trustee for a date between 21 and 40 days after the Chapter 7 petition is filed.  See Fed. R. Bankr. P. 2003(a).  During this meeting, the trustee will put the debtor under oath.  See 11 U.S.C. § 343.  The trustee will then orally examine the debtor to ensure the debtor is aware of (among other things):  (1) the potential consequences of seeking a discharge in bankruptcy, including the effects on credit history; (2) the debtor’s ability to file for bankruptcy under a different chapter of the Bankruptcy Code (i.e., Chapter 13); and (3) the effect of receiving a discharge of debts under Chapter 7.  See 11 U.S.C. § 341(d).  Thereafter, the trustee and any participating creditor may ask questions regarding the debtor's financial affairs and property, among other things.  See 11 U.S.C. § 343.  The debtor will be expected to answer each reasonable question presented.  Note, if a husband and wife have filed a joint Chapter 7 petition, they both must attend the meeting and answer questions.  Note, too, that bankruptcy judges are prohibited from attending the meeting.  See 11 U.S.C. § 341(c). 

In Chapter 13 cases, the individual debtor that filed for bankruptcy must likewise attend a meeting of creditors, which is typically scheduled by the U.S. Trustee for a date between 21 and 50 days after the Chapter 13 petition is filed.  See Fed. R. Bankr. P. 2003(a).  During this meeting, the trustee will put the debtor under oath, and both the trustee and any participating creditor may ask questions regarding the debtor’s financial affairs and proposed terms of the debtor’s repayment plan, among other things.  See 11 U.S.C. § 343.  The debtor will be expected to answer each reasonable question presented.  Note, if a husband and wife have filed a joint Chapter 13 petition, they both must attend the meeting and answer questions.  Note, too, that bankruptcy judges are prohibited from attending the meeting.  See 11 U.S.C. § 341(c). 

Hearings

Occasionally, if complications arise, or if the individual debtor chooses to dispute a debt, the debtor may have to appear at a hearing before the bankruptcy judge to provide oral testimony and/or documentary evidence concerning the dispute.  If the debtor needs to go to bankruptcy court, the debtor will receive notice of the hearing location, date and time from the bankruptcy court or the debtor’s attorney.