Courts Set Limits on a Bankruptcy Attorney Fee
A lot of bankruptcy courts set legal limits on the kinds of bankruptcy attorney fees that can be charged, particularly in Chapter 13 cases. There have been instances where attorneys requested fees in amounts that were later reduced by the court. A client should inquire as to whether or not there are legal guidelines that apply to the charges that pertain to their case. A Bankruptcy Attorney might wish to bill a client for the total number of hours that they expended in the client’s case. The court might later look at those charges and decide that they are not justified and reduce the amount of money that a client owes the legal representative. Since the legal expenses that a client will incur in a Chapter 13 proceeding can usually be included in the reorganization of the client’s debt, the amount of money that a client must come up with at the beginning of a Chapter 13 bankruptcy filing need not be unreasonably high.
