CHAPTER 11 REORGANIZATION
Sub Chapter Officers and Administration
Sec. 1107. Rights, powers, and duties of debtor in possession
(a) Subject to any limitations on a trustee serving in a case under
this chapter, and to such limitations or conditions as the court
prescribes, a debtor in possession shall have all the rights, other than
the right to compensation under section 330 of this title, and powers,
and shall perform all the functions and duties, except the duties
specified in sections 1106(a)(2), (3), and (4) of this title, of a
trustee serving in a case under this chapter.
(b) Notwithstanding section 327(a) of this title, a person is not
disqualified for employment under section 327 of this title by a debtor
in possession solely because of such person's employment by or
representation of the debtor before the commencement of the case.
(Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2628; Pub. L. 98-353, title III,
Sec. 503, July 10, 1984, 98 Stat. 384.)
Historical and Revision Notes
The House amendment adopts section 1107(b) of the Senate amendment
which clarifies a point not covered by the House bill.
senate report no. 95-989
This section places a debtor in possession in the shoes of a trustee
in every way. The debtor is given the rights and powers of a chapter 11
trustee. He is required to perform the functions and duties of a chapter
11 trustee (except the investigative duties). He is also subject to any
limitations on a chapter 11 trustee, and to such other limitations and
conditions as the court prescribes cf. Wolf v. Weinstein, 372 U.S. 633,
1984--Subsec. (a). Pub. L. 98-353 substituted ``on a trustee serving
in a case'' for ``on a trustee''.
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.
Section Referred to in Other Sections
This section is referred to in sections 106, 328, 1161 of this