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post-confirmation 13 debtor is representing himself, wants to hire me
Mates,
A post-confirmation chapter 13 debtor is representing himself. He wants to
hire me to convert him to 7.
If he comes to me for consultation and pays me, say, $500 to analyze this
situation, what are my obligations?
1. I probably need to file a Rule 2016 statement (disclosing the amount
of money I received from any source for services rendered to debtor).
2. Since $ is coming from the debtor, ordinarily, I would need to apply
for appointment and then apply for approval of my fees. However, it seems
that, just to advise an unrepresented debtor and get $500, such an involved
procedure would be excessive.
3. If I don't need to be appointed, does that money ($500 for analyzing
his situation) need to go to a trust account, and if so, until when? until
it is fully earned?
4. The local mandatory 13 plan in CD Cal does not allow 13 debtors to
borrow over $500 without court permission. Can I do more than $500 worth
of legal services for him on credit? Ordinarily, a 13 lawyer can do work
for the debtor and get paid from the plan. Of course this chapter 7 case
is about to covert, so I will not be getting paid from the plan.
I want him to pay me some amount, say, $1,000, for the conversion. I'd
like to sign a contract and have him pay upfront, not after he is converted
to 7.
1. Do I need to apply to be appointed once I sign the fee contract to
covert to 7 this this unrepresented debtor?
2. He has initially filed a chapter 7, then he converted to 13. This
means he cannot convert to 7 as of right, and needs to bring a motion. If
UST or 13T objects, there might be some litigation. In this situation, the
ultimate amount expended to obtain an order converting case to 7 is
unknown. Debtor does not have a litigation war chest full of cash. If a
substantial amount of work needs to be done, how can I get paid for this.
If he was staying in chapter 13, I could collect through the plan as an
administrative creditor. However, here, as soon as the amount of debt for
legal services provided becomes known, he will file chapter 7 and discharge
this debt. Any suggestions?
Alik Segal
Alik.Segal@gmail.com
310-362-6157
California Central District
Mates,A post-confirmation chapter 13 debtor is representing himself. He wants to hire me to convert him to 7. If he comes to me for consultation and pays me, say, $500 to analyze this situation, what are my obligations?
1. I probably need to file a Rule 2016 statement (disclosing the amount of money I received from any source for services rendered to debtor). 2. Since $ is coming from the debtor, ordinarily, I would need to apply for appointment and then apply for approval of my fees. 500, such an involved procedure would be excessive.
3. If I don't need to be appointed, does that money ($500 for analyzing his situation) need to go to a trust account, and if so, until when? until it is fully earned? 4. The local mandatory 13 plan in CD Cal does not allow 13 debtors to borrow over $500 without court permission. Can I do more than $500 worth of legal services for him on credit? Ordinarily, a 13 lawyer can do work for the debtorand get paid from the plan. Of course this chapter 7 case is about to covert, so I will not be getting paid from the plan.
I want him to pay me some amount, say, $1,000, for the conversion. I'd like to sign a contract and have him pay upfront, not after he is converted to 7. 1. Do I need to apply to be appointed once I sign the fee contract to covert to 7 this this unrepresented debtor?
2. He has initially filed a chapter 7, then he converted to 13. This means he cannot convert to 7 as of right, and needs to bring a motion.If UST or 13T objects, there might be some litigation.In this situation, the ultimate amount expended to obtain an order converting case to 7 is unknown. Debtor does not have a litigation war chest full of cash. If a substantial amount of work needs to be done, how can I get paid for this. If he was staying in chapter 13, I could collect through the plan as an administrative creditor. However, here, as soon as the amount of debt for legal services provided becomes known, he will file chapter 7 and discharge this debt. Any suggestions?
-- Alik SegalAlik.Segal@gmail.com310-362-6157California Central District
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