(a) A person may serve as trustee in a case under this title only if 
such person is--
        (1) an individual that is competent to perform the duties of 
    trustee and, in a case under chapter 7, 12, or 13 of this title, 
    resides or has an office in the judicial district within which the 
    case is pending, or in any judicial district adjacent to such 
    district; or
        (2) a corporation authorized by such corporation's charter or 
    bylaws to act as trustee, and, in a case under chapter 7, 12, or 13 
    of this title, having an office in at least one of such districts.

    (b) A person that has served as an examiner in the case may not 
serve as trustee in the case.
    (c) The United States trustee for the judicial district in which the 
case is pending is eligible to serve as trustee in the case if 
necessary.

(Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2561; Pub. L. 98-353, title III, 
Sec. 428, July 10, 1984, 98 Stat. 369; Pub. L. 99-554, title II, 
Secs. 206, 257(c), Oct. 27, 1986, 100 Stat. 3098, 3114.)


                      Historical and Revision Notes

                         legislative statements

    Section 321 indicates that an examiner may not serve as a trustee in 
the case.


                        senate report no. 95-989

    Section 321 is adapted from current Bankruptcy Act Sec. 45 [section 
73 of former title 11] and Bankruptcy Rule 209. Subsection (a) specifies 
that an individual may serve as trustee in a bankruptcy case only if he 
is competent to perform the duties of trustee and resides or has an 
office in the judicial district within which the case is pending, or in 
an adjacent judicial district. A corporation must be authorized by its 
charter or bylaws to act as trustee, and, for chapter 7 or 13 cases, 
must have an office in any of the above mentioned judicial districts.


                               Amendments

    1986--Subsec. (a). Pub. L. 99-554, Sec. 257(c), inserted reference 
to chapter 12 in two places.
    Subsec. (c). Pub. L. 99-554, Sec. 206, added subsec. (c).
    1984--Subsec. (b). Pub. L. 98-353 substituted ``the case'' for ``a 
case'' after ``an examiner in''.


                    Effective Date of 1986 Amendment

    Effective date and applicability of amendment by section 206 of Pub. 
L. 99-554 dependent upon the judicial district involved, see section 
302(d), (e) of Pub. L. 99-554, set out as a note under section 581 of 
Title 28, Judiciary and Judicial Procedure.
    Amendment by section 257 of Pub. L. 99-554 effective 30 days after 
Oct. 27, 1986, but not applicable to cases commenced under this title 
before that date, see section 302(a), (c)(1) of Pub. L. 99-554.


                    Effective Date of 1984 Amendment

    Amendment by Pub. L. 98-353 effective with respect to cases filed 90 
days after July 10, 1984, see section 552(a) of Pub. L. 98-353, set out 
as a note under section 101 of this title.