Circuits Split, Judge Teel Earmarks Collateral Surcharges for All ‘Admin’ Creditors
Law v. Siegel didn’t insulate professionals from disgorging interim fee awards.
Court:
No Statutory Fees for Standing Chapter 13 Trustees if Dismissal Precedes Confirmation
With no circuit authority, lower courts are split on the fate of standing trustees’ fees when a chapter 13 case is dismissed before confirmation.
Counsel Must Eat Filing Fees in ‘No-Money-Down’ Chapter 13s
Lawyers can’t be reimbursed for advancing filing fees through fee applications or ‘no-look’ fees.
Retention Agreements Allowing Defense Fees Ok in New Mexico, but Not in Delaware
Baker Botts v. ASARCO doesn’t prohibit retention agreements allowing fees for defense of fees, judge holds.
Court:
Survivor’s Pension Benefits Are Not ‘Retiree Benefits’ Protected by Section 1114
Judge uses legislative history because Section 1114 is ambiguous.
Delaware Judge Narrows Jevic to Prohibit Only End-of-Case Priority Skipping
Priority skipping permitted as part of final approval of DIP financing.
Court:
Third Party Liability for Debtor’s Counsel Fees Precludes a Charging Lien
Third party liability for attorneys’ fees can leave debtor’s counsel in a worse position following nonpayment.