Rochelle's Daily Wire

Expedience is no substitute for disinterestedness when it comes to retention of a chapter 11 debtor’s general counsel.

Saying that the constitutional infirmity was “small” and “short-lived,” the majority decided that prospective relief was enough because Congress subsequently enacted a law mandating uniformity in the future with regard to fees for U.S. Trustees and Bankruptcy Administrators

Concurrent representation of a 43% shareholder was disqualifying while representing a creditor with 79% of the debt did not disqualify.

Courts have at least six theories about compensation for chapter 7 trustees for valuable services rendered when the case converts to chapter 13 before the trustee has made any distributions.

Bankruptcy Judge Scott Clarkson nailed the government with $38,000 in sanctions for a ‘willful’ violation of a discovery order shown by ‘clear and convincing evidence.’

The same question has been sub judice in the Second Circuit for 15 months. Is the Second Circuit on the cusp of making a circuit split?

A lawyer was found to have committed fraud on the court for filing schedules claiming ownership of property that another court had found not to be the debtor’s property.

Sitting en banc, three judges in St. Louis effectively barred bifurcated fee arrangements in the Eastern District of Missouri.

Seemingly in conflict with Section 329, a district court decided that a chapter 7 debtor’s attorneys could sue for post-petition fees, even though the firm never disclosed the fee arrangement as required by Section 329 and Rule 2016.

The district court properly reversed and dismissed for lack of subject matter jurisdiction under Barton.