______________________________x In re EVALYN PREBLICH, Case No. 3-87-00863-HAR Chapter 7 Debtor(s). ORDER DENYING ATTORNEY FEES FROM THE ESTATE FOR DEBTOR'S ATTORNEY ______________________________x
This case began as a chapter 11 on October 14, 1987. It was converted to chapter 7 on November 8, 1988. Greg Oczkus's law office substituted for debtor's original attorney, after the conversion, in December, 1989. Mr. Oczkus applied for fees from December, 1989 through June, 1990.
This is a difficult case. There are environmental cleanup costs or duties for a campground on the Kenai Peninsula that the trustee must try to deal with. It may be that there will be little for the creditors after this is accomplished, and in this bankruptcy case the court feels the creditors should recover before compensating debtor for her post-confirmation attorney fees.
2 ABR 57The debtor has generally been at cross purposes with the chapter 7 trustee. Possibly through bad advise or insufficient counselling before Mr. Oczkus became involved, she has not willing complied with the bankruptcy requirements and duties.
Attorney fees are generally awarded in a bankruptcy case for benefiting the estate or bankruptcy process. Fees may be denied from the estate when they accrued principally for the debtor's benefit and not the estate's. In this case, fees should not be borne by the estate for the debtor's attorneys' endeavors post-conversion where the benefit to the estate is not apparent. Cf., In re Acala, 918 F.2d 99, 103 (9th Cir. 1990) and In re Walter, 83 B.R. 14, 19 (9th Cir. BAP 1988). Therefore,
IT IS ORDERED that the fees sought by M. Gregory Oczkus by his application filed on June 26, 1991 (Docket No. 174), and a prior application, are DENIED.
DATED: DATED: July 29, 1991 |   |
  |   |
  | ______________________________ |
  | HERBERT A. ROSS |
  | U.S. Bankruptcy Judge |
Serve: |   |
M. Gregory Oczkus, Esq., for Debtor |   |
Cabot Christianson, Esq., for Trustee |   |
U.S. Trustee |   |
Jamilia George, Chief Deputy Clerk | H3603 |