The right to be a debtor under a specific chapter of the Bankruptcy Code. For instance, only a person or entity that resides in, has a domicile in, a place of business in, or property in the United States, or that is a municipality, may be a debtor under the Code. Certain entities, such as railroads, banks, and savings and loan associations, may not be debtors under Chapter 7 of the Code. No person or entity is eligible to be a debtor under Chapter 12 of the Code unless the person or entity is a family farmer or family fisherman with regular annual income. Chapter 13 is where eligibility requirements most often come into play, and that chapter is reserved to individuals who have regular income and who meet specific debt requirements set forth in Section 109(e) of the Code.
Bankruptcy Code ยง 109.