It is hard to open a law periodical these days without hearing about the shift from hourly billing to alternative fee arrangements such as flat fees. It may be premature to mourn the demise of the billable hour, but it is nevertheless imperative for lawyers to become familiar with the ethical pitfalls inherent in alternative billing arrangements.
In a recent decision in the chapter 11 case of Project Orange Associates LLC,[2] the court confronted an important issue that often arises in bankruptcy cases: whether the use of conflicts counsel is sufficient to permit court approval under § 327(a) of the Bankruptcy Code of a debtor’s choice for general bankruptcy counsel that also represents an important creditor of the debtor in unrelated matters. Here, the conflict involved the debtor's largest unsecured creditor and an essential supplier.
Recent Second and Ninth Circuit opinions highlight the dispute over whether the Bankruptcy Code authorizes allowance of claims for post-petition legal fees incurred by unsecured creditors. Specifically, while not all circuits agree, in the wake of the 2007 U.S. Supreme Court decision, Travelers Casualty & Surety Co. of North America v. Pacific Gas & Electric Co., 549 U.S.
You have been hired to represent a secured lender in a bankruptcy case. Thankfully, the lender took a lien on collateral with a value greatly exceeding the amount of the debt, and the loan documents provide coverage for legal fees and expenses. It looks as though this gives you plenty of room to participate in this case and have your fees and expenses reimbursed out of the proceeds of the collateral.
In a nondischargeability action under 11 U.S.C. §523(a)(2)(A) against an attorney by his client, the Tenth Circuit Court of Appeals held that attorney Harold Riebesell could not discharge a loan made to him by his client in his chapter 7 case where he failed to disclose his perilous financial condition to his client. Johnson v. Riebesell (In re Riebesell), 586 F.3d 782, (C.A.10 2009). In In re Riebesell, Riebesell, a Colorado attorney, had a continuing attorney-client relationship with client W.A.
Cases—like seasons—come and go. What remains is the indelible mark left by the professional footprint of counsel.
Cases—like seasons—come and go. What remains is the indelible mark left by the professional footprint of counsel. Long after the mediation is concluded, the plan confirmed, the jury discharged, the defendant sentenced, the loan closed, the adoption granted and file retired, there will remain both intended and unintended impressions and appreciations of the parties and their counsel.