Compensation for Services Rendered; Reimbursing Expenses

(a) Statement Required by § 329 and Rule 2016(b). The statement required by 11 U.S.C. § 329 and Fed. R. Bankr. P. 2016(b) (the “Rule 2016(b) Statement”) shall be filed by the attorney for the debtor, utilizing a form which conforms substantially to the appropriate Director’s Form, within fourteen (14) days after the order for relief, whether or not the attorney seeks to be employed or compensated by the estate; provided, however, in chapter 13 cases, the attorney for the debtor shall use the form provided in Appendix E to these Local Bankruptcy Rules. (b) Form of Application. An application for compensation and reimbursement of expenses must: (1) be titled “Application for Compensation;” (2) set forth the date the debtor filed the petition; (3) set forth the date the court authorized employment of the applicant; (4) disclose the retainer received by the applicant and an accounting of the retainer as set forth in subpart (e)(2) of this Local Bankruptcy Rule; (5) disclose the period covered by the application; (6) (7) (8) disclose the name, hourly rate and work experience of each professional performing services for which compensation is sought; disclose the date of approval of all prior applications for compensation and the amounts approved by the court; comply with the United States Trustee guidelines as set forth in 28 CFR Part 58, Appendix A (for cases in which total assets and total liabilities are less than $50 million, aggregated for jointly administered cases) [www.justice.gov/ust/fee-guidelines], or 28 CFR Part 58, Appendix B (for cases in which total assets and total liabilities are $50 million or more, aggregated for jointly administered cases) [www.justice.gov/ust/fee- guidelines]; (9) set forth the total compensation and expense reimbursements requested; 14 (10) attach exhibits which include the following: (i) for each professional or paraprofessional seeking compensation for compensable services, a chronological billing summary that provides by date, and by professional and paraprofessional, a description of the services being performed, and the time devoted to performing the described services; (ii) (iii) a summary sheet which shows by project category the time each professional and paraprofessional devoted to working on the case during the applicable time periods; a summary sheet which itemizes all expenses, including copies, telephone charges, courier services, witness fees, postage, mileage, etc.; and (iv) a resume or summary of the professional’s and paraprofessional’s qualifications; (11) bill travel time at half-rate unless work was performed during travel, in which case the time may be billed at full rate; (12) contain the twenty-one (21) day “if and only if” notice language described in LBR 9007-1(b); and (13) contain a certificate of service reflecting service as required under subsection (d) of this Local Bankruptcy Rule.

(c) Time Records and Documentation of Expenses. All professionals submitting an application under Fed. R. Bankr. P. 2016 and this Local Bankruptcy Rule, except auctioneers, real estate brokers, appraisers, or professionals retained on a fixed-fee or contingent-fee basis, must keep accurate and contemporaneous time records. Additionally, when possible, receipts should be obtained for all expenditures, and all professionals must retain and make available upon request documentation for all expenditures more than $50.00. (d) Service and Notice.

A complete copy of the application, including all exhibits, must be served on the debtor and the debtor's counsel, the trustee and the trustee's counsel, attorneys for any court-appointed committees, and the United States Trustee. The applicant must serve a summary of the fee application upon the Master Mailing List as constituted by the court on the date of service which: (1) identifies the applicant and the capacity of such applicant; 15 (2) identifies the title of the application and the date it was filed; (3) identifies the amounts sought by the application; (4) identifies the time period covered by the application; (5) (6) contains the twenty-one (21) day “if and only if” notice language described in LBR 9007-1(b); and contains a notice that a complete copy of the application will be sent to any requesting party by the applicant at no charge. (e) Retainers. In chapter 9, 11, 12 and 13 cases, all attorneys and accountants employed by a debtor shall deposit any retainer received prepetition, whether received from the debtor or someone else, in a trust account.

(1) Withdrawal from Retainer by Debtor’s Attorney in Chapter 13 Cases. (i) (ii) (iii) To the extent the debtor’s attorney collects a retainer to pay expenses related to the debtor’s chapter 13 case, such as the filing fee, the cost of a credit report and fees paid for credit counseling required by 11 U.S.C. § 109(h)(1), the attorney may make a prepetition withdrawal from the retainer to cover these expenses. Unless the court orders otherwise, and only in those cases where the attorney has elected to be compensated under this court’s Standing Order on no-look fees in chapter 13 cases, the entry of a chapter 13 confirmation order shall authorize an attorney for a chapter 13 debtor to withdraw a retainer in full or partial satisfaction of the attorney's outstanding fee without the necessity of a formal order. In those chapter 13 cases in which the professional seeks compensation and reimbursement of expenses by application, the retainer must be held in trust pending approval by the court of an application by the professional for compensation and reimbursement of expenses.

(2) Withdrawal from Retainer in Chapters 9, 11 and 12 Cases. (i) The attorney for the debtor in a chapter 9, 11 or 12 case may make a post-petition withdrawal from the retainer for the sole purpose of paying the applicable case filing fee. The attorney’s initial application for compensation and reimbursement of expenses must 16 disclose the total disbursement made from the retainer to pay the applicable filing fee(s). (ii) The professional’s first application for approval of compensation and reimbursement of expenses should set forth the retainer the applicant received.

The retainer shall be applied to payment of the compensation and expenses set forth in the initial application as approved by the court. Subsequent applications for compensation and reimbursement of expenses by the professional shall set forth the amount of the retainer previously applied to payment of approved compensation and expenses of the professional, and the balance of the original retainer remaining. (3) Post-Petition Retainers. A professional may not accept or deposit a retainer after the filing of the petition for relief except by court order.

(f) Attorney’s Fees in Chapter 13 Cases. (1) Standing Order Establishing Presumptively Reasonable No-Look Fees. In chapter 13 cases, the debtor’s attorney, by agreement with the debtor, may elect to be paid the presumptively reasonable no-look fee allowed by Standing Order of the court (the court’s current Standing Order on no-look fees in chapter 13 cases is posted on the court’s website at www.lawb.uscourts.gov/). The election of the no-look fee by the debtor’s attorney must be disclosed in the attorney’s Rule 2016(b) Statement.

(2) Fee Applications. If the no-look fee allowed by Standing Order of the court is not elected in the Rule 2016(b) Statement, the debtor’s attorney must file a formal fee application in accordance with Fed. R. Bankr. P. 2016 and this Local Bankruptcy Rule. (3) Review by Chapter 13 Trustee. In all cases (i.e. in both, cases in which the no-look fee has been elected, and in cases in which the chapter 13 debtor’s attorney has elected to file a fee application), the chapter 13 trustee shall review and consider the reasonableness of the attorney’s fee requested in each case.

If the chapter 13 trustee does not file an objection to the compensation being requested, then it shall be presumed that the trustee recommends payment of the requested fees. Under these circumstances, confirmation of the chapter 13 plan shall constitute court approval of the fees requested. If the chapter 13 trustee 17 objects to the compensation, the reasonableness of the attorney’s fee requested will be considered at the same time as the confirmation hearing scheduled in the case. (4) Hearing on Reasonableness of Attorney Fees.

Any party in interest by motion, or the court on its own motion, may request a hearing to review the reasonableness of the attorney fee requested; unless otherwise ordered by the court, the hearing on the reasonableness of the attorney’s fee will be conducted at the same time as the confirmation hearing scheduled in the case.