Joining the Tenth Circuit, the Ninth Circuit also has held that chapter 13 trustees are not paid their fees when cases are dismissed before confirmation. The identical issue was argued on February 15 before the Second Circuit.
In short order, we’ll have either unanimity or a split of circuits. A split will give rise to an issue worthy of a grant of certiorari by the Supreme Court.
Notably, the Ninth Circuit’s opinion on June 12 adopted reasoning in an amicus brief filed in support of the debtor by the National Consumer Bankruptcy Rights Center and National Association of Consumer Bankruptcy Attorneys.
Sometimes, a trustee and a trustee’s professionals can be paid more than the distribution to unsecured creditors.
Explaining when the phenomenon may occur, Bankruptcy Judge Robert J. Faris said in his.....
Twenty-seven months after oral argument, the Second Circuit avoided making a circuit split, sided with three other circuits, and held that a chapter 13 standing trustee “cannot keep any percentage fee.....
Bankruptcy Judge Robert H. Jacobvitz of Albuquerque, N.M., described a circumstance when an individual debtor is entitled to pursue an appeal after conversion of a chapter 11 case to chapter 7.
The.....
Bankruptcy Judge Donald R. Cassling of Chicago overruled a confirmation objection that would have driven lawyers away from the chapter 13 practice if sustained. He rejected an unsecured creditor’s.....
Holding that a debtor’s lawyer has no Seventh Amendment right for a jury to decide what the debtor owes for fees in connection with a chapter 7 case, the Third Circuit upheld bankruptcy courts’ power.....
On an issue where the courts are split, Bankruptcy Judge Guy R. Humphrey of Dayton, Ohio, decided that a chapter 7 trustee was entitled to no compensation because the trustee had made no distributions.....
The denial of compensation to a chapter 13 trustee when dismissal precedes confirmation does not offend the Due Process Clause of the Fifth Amendment, for multiple reasons explained by the Ninth.....
On a question where the bankruptcy courts are divided, Bankruptcy Judge Maria Elena Chavez-Ruark of Greebelt, Md., decided that the calculation of the compensation of a chapter 7 trustee is based upon.....
On an issue of first impression, the First Circuit has held that a bankruptcy court need not retain jurisdiction to entertain an alleged debtor’s post-dismissal request for attorneys’ fees under.....
Over a dissent, the majority on a Fourth Circuit panel laid down a bright-line rule in holding that “Section 327(a) does not authorize former trustees, following conversion, to file an after-the-fact.....