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General Nature and Composition of the Estate

Learn about the bankruptcy estate, property included in the estate, the fiduciary in charge of the estate, and the debtor's relationship to the estate.

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I. The Estate as Analogous to a Common-Law Trust

In a common-law trust, a trustee holds legal title to specified property called the res for the benefit of one or more beneficiaries who hold equitable title to the res. The trustee possesses and controls the res, but she must administer the res in the beneficiaries' best interests and, consequently, owes fiduciary duties to the beneficiaries.

Analogously, when a bankruptcy case commences, a specialized statutory trust called...