Tarbox v. United States Trustee for the Northern District of Texas

DeMOSS, Circuit Judge:

Max Tarbox, a Chapter 7 Trustee (the “Trustee”), filed a final report in a bank ruptcy proceeding in which the Trustee proposed to pay interest on administrative fees and expenses from the date of the filing of the petition, arguing that 11 U.S.C. § 726(a)(5) requires such a result in cases where the estate contains enough assets to redistribute a remainder to the debtor, i.e., a surplus case. The United States Trustee for the Northern District of Texas (the “UST”) objected to the proposed payment, arguing that to allow interest to accrue from the date of the petition…