Case Summary:
Debtors' counsel filed an Application for Approval, Allowance and Payment of Compensation and Reimbursement of Expenses as an Administrative Creditor seeking reimbursement for a total of 17 hours of work. An examination of the billing entries showed that the bulk of the work was performed in the course of representing the Debtors against small claims actions in state court. The Court acknowledged that the attempt to resolve the matters quickly and inexpensively in state court was a logical choice, but noted that opting not to remove the matters to the bankruptcy court entailed a risk of prolonged litigation. It ruled that the additional fees that resulted from complications in the state court should not be paid by the bankruptcy estate, and denied the balance of Debtors' counsel's request beyond the initial amount budgeted for "a single appearance followed, perhaps, by one brief."
Statute/Rule References:
11 U.S.C. § 330 -- Compensation of Professionals
Key Terms:
Attorney Fees