By Anerio Altman

After two years of holding 341a hearings remotely, it appears that 341a hearings will continue to be held by telephone or “zoom”.

Previously, back in the “old world” pre-pandemic, a Debtor would show up at a physical location with their picture ID and proof of their social security. The hearing would be called and they would amble up to the table. A recording would begin. They would physically meet with the Trustee and demonstrate this proof. They would then testify as to the veracity of the information in the petition.

The Trustee would then ask them questions in person about their petition. It could last 10 minutes, or it could last an hour. The Trustee would have anywhere from 45 to 90 hearings to go through in a day.

Creditors could also physically show up and “participate” in the meeting. “Participation” could consist of asking questions of the Debtor, or just grousing generally as to the bankruptcy process.

The hearings moved to telephonic or zoom, depending on the Trustee, when the pandemic started. At first there was a great deal of confusion as everyone got used to the new set up. As of today, it is working quite well. Whether a Trustee utilizes a telephone line or a zoom connection is up to the individual Trustee.

I general this has been very successful.

For Debtors, it is convenient because they no longer need to take a day off of work, or arrange childcare, to come to the hearing. Further, depending on your county, actually getting to the physical hearing room could in itself have been a challenge. Now, Debtors can call up on an iphone or use a computer with camera to appear.

For Trustees it is convenient because Trustees often rely upon fasts access to their computer system to review files. The prior 341a meeting rooms did not always have particularly good internet access so all the hearings would be slowed down by the Trustee trying to get better wifi access. Further Trustees can effectively bring their case administrator’s with them during the hearings.

For Creditors it is not as convenient because they will seldom understand what is going on unless they have counsel familiar with the set up. That said, 341a hearings are administrative hearings only, in which no decisions are reached. It is only a hearing in which the Debtor may make statements under penalty of perjury, but it is not the penultimate hearing of the matter. If the Creditor doesn’t like the 341a set up, they can always hold a 2004 exam.

Overall, holding these hearings remotely has improved the entire process.