PRO HAC VICE

(a) Eligibility. To be eligible to practice before the United States Bankruptcy Court for the Western District of Washington, an attorney must be a member in good standing of the bar of the United States District Court for the Western District of Washington. See Local Civil Rules W.D. Wash. 83.1 for the procedure for admission.

Any attorney so admitted wishing to practice before the Bankruptcy Court shall obtain electronic filing credentials as outlined in the Court’s Electronic Filing Procedures. No further action shall be necessary for admission to practice before the Bankruptcy Court. (b) Counsel. Permission to Participate in a Particular Case Pro Hac Vice; Responsibility of Local (1) Admission Pro Hac Vice.

(A) Any member in good standing of the bar of any court of the United States, or of the highest court of any state, or of any organized territory of the United States, and who neither resides nor maintains an office for the practice of law in the Western District of Washington normally will be permitted upon application and upon a showing of particular need to appear and participate in a particular case pro hac vice. The party must also be represented by local counsel, who shall fulfill the responsibilities set forth below. Attorneys who are admitted to the bar of this court but reside outside the district need not associate with local counsel. (B) An application for leave to appear pro hac vice, and order thereon, shall be promptly filed with the clerk using the required local forms, and shall set forth: (1) the name and address of the applicant’s law firm; (2) the basis upon which “particular need” is claimed; (3) a Local Rules W.D. Wash.

Bankr. Effective Dec. 1, 2023 Page 58 statement that the applicant understands that he or she is charged with knowing and complying with all applicable local rules; (4) a statement that the applicant has not been disbarred or formally censured by a court of record or by a state bar association; and (5) a statement that there are no pending disciplinary proceedings against the applicant. (2) Responsibilities of Local Counsel. (A) To qualify to serve as local counsel, an attorney must have a physical office within the geographic boundaries of the Western District of Washington and be admitted to practice before the Bankruptcy Court.

(B) Local counsel must review, sign, and electronically file the applicant’s pro hac vice application. By agreeing to serve as local counsel and by signing the pro hac vice application, local counsel attests that he or she is authorized and will be prepared to handle the matter in the event the applicant is unable to be present on any date scheduled by the court. (C) Unless waived by the court, in addition to the responsibilities in subsection (B) and any assigned by the court, local counsel must review and sign all motions and other filings, ensure that all filings comply with all applicable rules, and remind pro hac vice counsel of the court’s commitment to maintaining a high degree of professionalism and civility from the lawyers practicing before the Bankruptcy Court. The form motion and order for pro hac vice admission can be found at: Committee Comment https://www.wawb.uscourts.gov.

Local Rules W.D. Wash. Bankr. Effective Dec. 1, 2023 Appendix A to Local Bankruptcy Rules UNITED STATES BANKRUPTCY COURT WESTERN DISTRICT OF WASHINGTON Effective July 1, 2008 GUIDELINES FOR CASH COLLATERAL AND FINANCING STIPULATIONS The judges of this district are often requested to rule on requests by debtors (or chapter 11 trustees) for authority to enter into cash collateral and financing stipulations and agreements with secured creditors (e.g., under §§ 363(c)(2) or 364(c) (all section references are to the Bankruptcy Code, 11 U.S.C. . These stipulations and agreements frequently contain provisions that the judges will not normally approve.

In an effort to provide guidance to debtors and secured creditors in these circumstances, the judges have adopted the following guidelines. Except as set forth below, these guidelines apply both to interim and to final requests for use of cash collateral or for authority to enter into a financing arrangement. A. The following will not normally be approved in an interim order, and must be identified and justified in final requests (see C, below): 1. Cross-collateralization clauses, i.e., clauses that secure prepetition debt with postpetition assets in which the secured party would not otherwise have a security interest by virtue of its prepetition security agreement.

2. Provisions or findings of fact that bind the estate (or all parties in interest, or parties not stipulating) with respect to the validity, perfection or amount of the secured party’s lien or debt. 3. Provisions or findings of fact that bind the estate (or all parties in interest, or parties not stipulating) with respect to the relative priorities of the secured party’s lien and liens held by persons who are not party to the stipulation.

This would include, for example, an order approving a stipulation providing that the secured party’s lien is a “first-priority” lien. 4. Provisions in an interim order that permit the secured party’s lien to (i) attach to unsecured property of the estate, or (ii) have priority over other existing secured creditors in property of the estate that is already subject to a secured creditor’s lien. See § 364(c)(2) and (3).

5. Waivers of § 506(c). 6. Provisions that operate expressly or as a practical matter to divest the debtor, or any other party in interest, of discretion in the formulation of a plan or administration of the estate, or limit access to the court to seek any relief under applicable provisions of law.

7. Releases of liability by the debtor of any claim or cause of action against the secured creditor, including without limitation (i) for the creditor’s alleged prepetition torts, breaches of contract, or lender liability, (ii) releases of prepetition or postpetition defenses and/or counterclaims, and (iii) releases of any avoidance actions arising under the Bankruptcy Code. 8. Automatic relief from the stay of § 362(a) upon the debtor’s default under the cash collateral or financing agreement or stipulation, conversion to chapter 7, or the appointment of a trustee.

Local Rules W.D. Wash. Bankr. Effective Dec. 1, 2023 Page 60 9. Adequate protection provisions that create liens on claims for relief arising under the Bankruptcy Code, including without limitation, claims arising under §§ 506(c), 544, 545, 547, 548, and 549.

10. Waivers, effective on default or expiration of the term of the agreement or stipulation, of the debtor’s right to move for a court order pursuant to § 363(c)(2)(B) authorizing the use of cash collateral in the absence of the secured party’s consent. 11. pro rata basis. Carve outs for administrative expenses that do not treat all professionals equally or on a 12.

Provisions that create an unreasonably short limitation period for the debtor or any other party in interest (including a successor trustee) to bring claims or causes of action against the secured creditor. 13. A finding without supportive evidence to the effect that in consenting to the use of cash collateral or postpetition financing, the secured creditor is acting in good faith. 14.

Provisions applicable in the event of dispute or default under the agreement that place venue in any other court. 15. Provisions applicable in the event of a dispute or default under the agreement wherein the debtor waives service of process, the doctrine of forum non conveniens, notice and hearing, or the right to a jury trial. 16.

Provisions applicable in the event of a dispute or default authorizing the financing party or anyone else to sue in the name of the debtor.

B. The following provisions will normally be approved: 1.

Withdrawal of consent to use cash collateral or termination of further financing, upon occurrence of a default, appointment of a trustee, or conversion to another chapter. 2. Securing any new advances or postpetition diminution in the value of the secured party’s collateral with a lien on postpetition collateral of the same type as the secured party had prepetition, if such lien is subordinated to the compensation and expense reimbursement allowed to any trustee thereafter appointed in the case. 3.

In connection with an order entered at a final hearing, securing new advances or value diminution with a lien on other assets of the estate, but only if the lien is subordinated to all the expenses of administration of a superseding chapter 7 case. 4. Reservation of rights under § 507(b), unless the stipulation calls for modification of the Bankruptcy Code’s priorities in the event of conversion to chapter 7. See § 726(b).

5. 6. Reasonable reporting requirements. Reasonable budgets and use restrictions.

7. or stipulation. An expiration date for the term of financing or use of cash collateral under the agreement Local Rules W.D. Wash. Bankr. Effective Dec. 1, 2023 In all applications for court approval of a cash collateral or financing agreement or stipulation, C. counsel for the debtor (or trustee) must certify whether the agreement contains any provision listed in part A, identify any such provision, and explain its justification.

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