| In re
CAROLYN ELLEN CAREY, dba Alpine Portable Toilets, Debtor(s) |
Case No. J96-00082-HAR Chapter 13 MEMORANDUM IN SUPPORT OF ORDER PARTIALLY DENYING ATTORNEY FEES |
Brock Weidner has applied for attorney fees of $4,800 and $20 in costs. He has apparently been paid $2,500, and $175 for filing fees before the case was filed. He did not note the $175 filing fee in his Application For Fees (Docket Entry 26).
I reviewed Mr. Weidner's fee application more closely than I normally do because it appeared to be rather large for a chapter 13 case, and, from my memory of the case, it appeared to be out of proportion.
The debtor runs a portable toilet rental business in Juneau. She has several trucks and some toilets as well as a small amount of inventory. Debtor has no real estate and about $16,157 in personal property.
Generally, the plan provides for payment to 5 secured creditors (2 of which are for vehicles, and 2 for the purchase of the business), and some tax debt. Although there were several confirmation hearings, much of the delay was the debtor's failure to propose an adequate payment to Ford Motor Credit.
I have broken down the billing statement into a table as follows:
The allocation in the table is not exact, because the description of the activities in many events is deficient and/or lumped. The court has discretion to deny fees which are requested in a lumped fashion. In re Four Star Terminal, Inc., 42 BR 419, 426 (Bankr D AK 1984); In re Jung Hwa Kim, 54 BR 235, 239 (Bankr D Haw 1985). I did not use that ground in this instance.
In this district, we have a form of plan which takes a lot of
the drafting burden off a practitioner. The practitioner needs only to
fill in the blanks. The debtor did not seek to strip down the claims of
4 ABR 445
the secured creditors (although, in review, the amount owed for the
purchase of the business raises questions of whether the collateral is as
valuable as the debt). Thus, almost accruing almost 12 hours to draft
a chapter 13 plan with so few complicated issues is excessive, as is 13
hours for conferences.
In short, this seems to be an exorbitant amount for the product produced and the problem presented. The value of the services is certainly not $4,800. Compare, In re Puget Sound Plywood, Inc., 924 P2d 955, 958 (9th Cir 1991) (fees of attorney for Unsecured Creditors Committee reduced for over-litigating given the relatively small size of the potential recovery), and In re Four Star Terminal, Inc, at 430 ("[I]n determining if the hourly rate is reasonable, the time, nature, extent and value of these services must be considered.").
The sum of $2,500 is more than adequate to compensate for all the attorney fees in this case and it is all that will be awarded. The court awards $20 for the cost of an amendment claimed by Mr. Weidner.
Mr. Weidner is granted 20 days from entry of this order to seek reconsideration or to appeal.