Using General Counsel to Set the Tone for Work in Large Chapter 11 Cases

Abstract

Building on my earlier work on professional fees in large Chapter 11 cases, this article suggests that the best way to monitor and control those fees is for the general counsel / chief legal officer of the debtor-in-possession and for major creditors to set the ground rules for how professionals carry out their work. Paying far closer attention to budgets and staffing will help keep those fees reasonable.

Keywords: Legal Fees, Professional Fees, Bankruptcy, Chapter 11 Bankruptcy, Legal Ethics, Social Science, Legal Spend

JEL Classification: K10, k19, k29, k30, k39, k40, k49, l20, l21, l25, l29, l84, m14, m19, m29, m41, m49, m52, m59