Once you file a bankruptcy case, most of your property becomes an estate. This estate is separate from you – it is a separate entity, called the bankruptcy estate. The court appoints a person to represent the bankruptcy estate. This person is called a trustee. Trustees have important powers some of which include the following:
- control contracts or leases you have entered into
- reverse a transfer of property you have made under certain circumstances
- reverse a transfer of property you have made to a friend or relative
- reverse a transfer of property you have made that is fraudulent
- abandon property that is burdensome or has no real value
Gregory Kornegay,
