Bankruptcy Terminology

BANKRUPTCY CODE

The informal name for title 11 of the United States Code (11 U.S.C. §§ 101–

1330), the federal bankruptcy law.

BANKRUPTCY COURT

The bankruptcy judges in regular active service in each district; a unit of the district court.

BANKRUPTCY ESTATE

All legal or equitable interests of the debtor in property at the time of the bankruptcy filing. (The estate includes all property in which the debtor has an interest, even if it is owned or held by another person.)

BANKRUPTCY JUDGE

A judicial officer of the United States district court who is the court official with decision-making power over federal bankruptcy cases.

BANKRUPTCY MILL

A business not authorized to practice law that provides bankruptcy counseling and prepares bankruptcy petitions.

BANKRUPTCY PETITION

A formal request for the protection of the federal bankruptcy laws. (There is an official form for bankruptcy petitions.)

BANKRUPTCY TRUSTEE

A private individual or corporation appointed in all chapter 7, chapter 12, and chapter 13 cases to represent the interests of the bankruptcy estate and the debtor’s creditors.

BUSINESS BANKRUPTCY

A bankruptcy case in which the debtor is a business or an individual involved in business and the debts are for business purposes.