Legal Opinion

Movitz v. Baker (In Re Triple Star Welding, Inc.)

United States Bankruptcy Appellate Panel for the Ninth Circuit

Decided April 28, 2005No. BAP No. AZ-04-1442-MOSZ, Bankruptcy No. 02-00346-YUM-JMMPublishedCited by 16 opinions

1Opinion of the Court

OPINION

MONTALI, Bankruptcy Judge.

This appeal involves a fee award to debt- or’s counsel despite his nondisclosure of numerous facts that potentially render him ineligible for employment or compensation. The bankruptcy court has broad discretion to approve employment and award fees after the true facts are known, but not when the attorney does not make a full, candid, and complete disclosure.

The bankruptcy court also applied an incorrect legal standard to the nondisclosure issues by requiring an adversary proceeding. The attorney did not disclose his receipt of a prima facie preference, and…

2Cases cited29 opinions

  1. In Re Larry T. & Cynthia J. Martin D/B/A a & W Drive-In Restaurant & Martin's Exxon, Debtors. Appeal of Larry T. & Cynthia J. MartinCourt of Appeals for the First Circuit · 1987
  2. In Re Park-Helena Corp., Debtor. Neben & Starrett, Inc. v. Chartwell Financial CorporationCourt of Appeals for the Ninth Circuit · 1995
  3. Osherow v. Ernst & Young, LLP (In Re Intelogic Trace, Inc.)Court of Appeals for the Fifth Circuit · 2000
  4. In Re Frank Pio Crivello, Debtor. Kravit, Gass & Weber, S.C. v. M. Scott Michel, United States TrusteeCourt of Appeals for the Seventh Circuit · 1998
  5. In Re: William Kyle Kisseberth and Ekaterina Kisseberth, Debtors. Ronald R. Henderson v. William Kyle Kisseberth and Ekaterina KisseberthCourt of Appeals for the Sixth Circuit · 2001

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3Cited by16 opinions

  1. ASM Capital, LP v. Ames Department Stores, Inc. (In Re Ames Department Stores, Inc.)Court of Appeals for the Second Circuit · 2009
  2. AFI Holding, Inc. v. BrownCourt of Appeals for the Ninth Circuit · 2008
  3. Cogliano v. Anderson (In Re Cogliano)United States Bankruptcy Appellate Panel for the Ninth Circuit · 2006
  4. Dye v. Brown (In Re AFI Holding, Inc.)United States Bankruptcy Appellate Panel for the Ninth Circuit · 2006
  5. Tevis v. Wilke, Fleury, Hoffelt, Gould & Birney, LLP (In Re Tevis)United States Bankruptcy Appellate Panel for the Ninth Circuit · 2006

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