John M. Lamie v. United States Trustee (540 U.S. 526)

U.S. Supreme Court · decided January 26, 2004 · Supreme Court Database (Spaeth)

Citation
540 U.S. 526 · 124 S. Ct. 1023
Decided
January 26, 2004
Term
October Term 2003
Vote
9–0
Majority author
Justice Kennedy
Issue area
Attorneys
Disposition
Affirmed
Outcome
Petitioning party lost
Ideological direction
Conservative

Opinion excerpt

Justice Kennedy delivered the opinion of the Court. Section 330(a)(1) of the Bankruptcy Code, 11 U. S. C. § 330(a)(1), regulates court awards of professional fees, including fees for services rendered by attorneys in connection with bankruptcy proceedings. Petitioner, a bankruptcy attorney, sought compensation under the section for legal services he provided to a bankrupt debtor after the proceeding was converted to a Chapter 7 bankruptcy. His application for fees was denied by the Bankruptcy Court, the District Court, and the United States Court of Appeals for the Fourth Circuit. Each court held that in a Chapter 7 proceeding § 330(a)(1) does not authorize payment of attorney’s fees unless the attorney has been appointed under §327 of the Code. See 11 U. S. C. §§327 and 701 et seq. Petitioner was not so appointed, and his fee request was denied. Having granted the petition for certiorari to review this holding, we now affirm. I In 1994 Congress amended the Bankruptcy Code. Bankruptcy Reform Act of 1994 (Act), 108 Stat. 4106. The subject of professional fees was addressed and comprehensive changes were made. See 3 Collier on Bankruptcy ¶ 330.LH[5], pp. 330-75 to 330-76 (rev. 15th ed. 2003). Most of the changes served to clarify the standards for the award of professional fees; but various courts disagree over the proper interpretation of the portion of the statute relevant to…

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