Issue link: https://mbozikis.ufcontent.com/i/1422521
33 trustee and, for Chapter 7, 12 and 13 cases, reside or have an office in the judicial district within which the case is pending. To be competent, a trustee must exhibit expertise and experience in the matter for which it has been appointed and hold a vast understanding of the bankruptcy process. See In re Jack Greenberg, Inc., 189 B.R. 906, 909 n.6 (Bankr. E.D. Pa. 1995). In a case filed under Chapter 7, 12 or 13, a corporation may also act as a trustee if it is authorized to do so by its bylaws or charter. 11 U.S.C. § 321(a)(2). However, the trustee may not have any interest which is adverse to the estate. See Dye v. Brown (In re AFI Holding, Inc.), 355 B.R. 139, 149 (B.A.P. 9th Cir. 2006). Section 322 of the Bankruptcy Code states the requirements for qualifying as a trustee in a Chapter 7, 11, 12 or 13 case. According to Section 322(a), a trustee may be qualified in such a case by timely filing with the court a bond in favor of the United States conditioned on the faithful performance of its official duties. The amount and sufficiency of a trustee's bond is determined by the U.S. Trustee. Upon appointment of a trustee, the clerk of the court may be asked to certify that the trustee has qualified. F ED. R. BANKR. P. 2011. U.S. Trustees automatically qualify under Section 322(b) of the Bankruptcy Code and do not have to file a bond. The trustee is the representative of the estate and has the capacity to sue and be sued. 11 U.S.C. § 323. Furthermore, a court can remove a trustee, that is not a U.S. Trustee, for cause after notice and a hearing. 11 U.S.C. § 324(a). The Bankruptcy Code does not specify grounds for removal, but, in the past, removal has been authorized where the trustee was found to be incompetent or unwilling to perform its duties, the trustee violated the fiduciary duty it owed to the estate or the trustee was guilty of official or personal misconduct. See Livore v. Hargrave (In re Livore), No. 08-32423, 2010 Bankr. LEXIS 1653, at *5 (Bankr. D. N.J. May 6, 2010); see also In re Lundborg, 110 B.R. 106, 108 (Bankr. D. Conn. 1990).