Opinion ID: 541385
Heading Depth: 2
Heading Rank: 1

Heading: Sale of the Dock System

Text: 23 As an initial matter, the Court notes that the Bankruptcy Trustee's attempted abandonment of the Dock System is not an abandonment as contemplated by law, but is a purported sale of property of the estate. Abandonment of property by a bankruptcy trustee is treated in 11 U.S.C. Sec. 554. Section 554 provides that the trustee may abandon any property of the estate that is burdensome to the estate or that is of inconsequential value and benefit to the estate. 11 U.S.C. Sec. 554(a). In the instant case, the Dock System obviously was not burdensome or of inconsequential value to the estate, as the Bankruptcy Trustee received $255,000, which was placed in a segregated account, and a reduction in several proofs of claim filed against the estate in exchange for the Dock System. This bargained-for exchange is in the nature of a sale, not an abandonment. 24