Bankr. No.:
21-40170
Chapter:
7
Date of Decision:
February 9, 2022
Issue:
Whether an attorney's disclosure of compensation accurately reflected the bifurcated fee agreements between the attorney and the debtor, and whether the fee for the attorney's post-petition services was reasonable.
Ruling:
No, on both issues. Though no fees were required to be disgorged, the attorney's disclosures of compensation must be internally consistent and accurately reflect the attorney's fee agreements with a debtor. In addition, pre-petition services must be sufficient to fulfill the attorney's obligations under 11 U.S.C. ยง 707(b)(4)(C), Fed.R.Bankr.P. 9011(b), and all applicable rules of professional conduct, and any flat fee for post-petition services must reflect the actual work expected to be performed post-petition.
Full Bankruptcy Court Decision:
