The Role of the Montana Bankruptcy Trustee

Montana bankruptcy trustees handle cases filed under Chapters 7 and 13. To understand how the bankruptcy court system works in the Big Sky State, it is crucial to recognize the difference between the appointed bankruptcy trustee who administers the individual case and the Office of the U.S. Trustee (UST), which oversees the bankruptcy process.

By Alexander Hernandez, J.D., Professor, and Author of Consumer Bankruptcy Law (Routledge).

The Bankruptcy Trustee

The Bankruptcy Trustee is a private individual appointed to oversee your specific case. Their responsibilities vary depending on the chapter filed:

Chapter 7 (Liquidation): The bankruptcy trustee reviews your petition and financial disclosures, conducts the 341 Meeting of Creditors, and manages the liquidation of non-exempt assets to distribute proceeds to creditors.

Chapter 13 (Reorganization): Also known as a wage earner’s plan, in Chapter 13, the standing trustee administers your plan payments, collecting and distributing monthly payments to creditors. They also perform Chapter 7 duties such as reviewing the petition and conducting the 341 Meeting, including handling non-exempt assets. The Chapter 13 Trustee is also responsible for the Confirmation Hearing.

Office of the U.S. Trustee (UST)

Unlike individual case trustees, the United States Trustee (UST) is a federal agency within the Department of Justice. The UST’s role is oversight, monitoring private trustees, and investigating and prosecuting bankruptcy fraud. Montana falls under Region 18 of the U.S. Trustee Program.

Key Points: The Role of the Montana Bankruptcy Trustee

The trustee’s primary role is to protect the bankruptcy estate for the benefit of creditors. This involves:

Reviewing Financial Disclosures: Scrutinizing your bankruptcy schedules to identify any non-exempt assets, which are assets not protected under Montana’s bankruptcy exemptions, which often include specific protections for your homestead.

The 341 Meeting of Creditors: The debtor must attend the meeting of creditors. The bankruptcy trustee questions them under oath about their financial situation. In Montana, the hearings are likely to be held in divisional offices, such as Billings, Butte, Great Falls, or Missoula.

Professor’s Note: Most trustees conduct the creditors’ meetings via Zoom or similar remote access, although they have the option to conduct in-person meetings as well.

Investigative Authority: In both Chapters 7 and 13, the bankruptcy trustee examines the debtor’s financial history for improper transactions, such as preferential payments to family members or “fraudulent transfers” made shortly before filing for bankruptcy.

Professor’s Note: The trustee does not act as your personal legal representative. Only your bankruptcy attorney serves as your legal advocate, protecting your interests throughout the process. Keep this in mind when communicating directly with the trustee.

The Bankruptcy Trustee Duties Comparing Chapters 7 and 13

Bankruptcy Chapter	Trustee Duties
Chapter 7 (Liquidation)	Oversight and Liquidation: Review the petition, conduct the 341 Meeting, locate and liquidate non-exempt assets, and distribute proceeds to creditors.
Chapter 13 (Reorganization)	Plan Oversight and Payment Processing: Performs Chapter 7 review duties and administers the Repayment Plan by collecting and distributing monthly payments. Monitors debtor compliance over the 3-to-5-year plan term.

Montana Bankruptcy Trustees

Unlike most states, the state of Montana consists of a single judicial district: the District of Montana. However, it operates through four main divisions: Billings, Butte, Great Falls, and Missoula.

Chapter 13 Standing Trustee

The District of Montana has one standing Chapter 13 trustee who oversees reorganization cases for the entire state.

Trustee Name	Mailing Address	Contact Information
Robert G. Drummond	8 Third Street North, Suite 511, Great Falls, MT 59403	(406) 761-8600 Trustee@MTChapter13.com
Payment Address	P.O. Box 1829, Great Falls, MT 59403	—

Chapter 7 Panel Trustees

The following individuals are part of the panel of trustees who may be assigned to a Chapter 7 case in Montana. Assignments typically depend on the division where the case is filed.

Trustee Name	Mailing Address	Phone
Christy L. Brandon	PO Box 1544, Bigfork, MT 59911	406-837-5445 Christy@brandonlawfirm.com
Richard J. Samson	P.O. Box 8281, Missoula, MT 59807	406-721-7772 rjs@csjlaw.com
Joseph V. Womack	P.O. Box 1353, Billings, MT 59103	406-248-3126
Darcy M. Crum	P.O. Box 1445, Great Falls, MT 59403	406- 727-4003 dcrum@mcn.net

The Professor’s Take

It’s essential to comprehend the role of the Montana bankruptcy trustee, including their investigative responsibilities in safeguarding the bankruptcy estate. To learn more about the 341 meeting, including the process, please feel free to read this prior article. Information on the Montana bankruptcy court can be found via this link.

Professor Hernandez is an attorney specializing in consumer finance and debt relief. He is the published author of Consumer Bankruptcy Law (Routledge Publishing) and teaches law and finance courses in both English and Spanish for an international university.

Colleges and universities can purchase my bankruptcy law textbook directly from Routledge Publishing. Paralegals and students who are buying single copies can do so via Amazon Books. To access my YouTube channel, click this link. You can also listen to my podcast on Spotify.

You can learn more about filing for bankruptcy and the bankruptcy petition via this lin k. Information on the bankruptcy court system, contact information for trustees, and your state’s exemptions can be found here. The federal bankruptcy exemptions are listed here. The latest version of the 341 Meeting of the Creditors can be found here.

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Please note that the information on this site does not constitute legal advice and should be considered for informational purposes only.