Baker Botts Handed Loss by SCOTUS On Attorneys’ Fee-Defense in ASARCO Case

Bankruptcy attorneys can’t be awarded attorneys’ fees for their work in defending their own fee applications, the U.S. Supreme Court held (Baker Botts LLP v. ASARCO LLC, 2015 BL 187887, U.S., 14-103, 6/15/15).

The majority opinion delivered June 15 says that Bankruptcy Code Section 330(a)(1) doesn’t permit bankruptcy courts to award fees to attorneys and professionals who work on behalf of an estate for defending fee applications.

The 6-3 decision can only be viewed as a setback for the bankruptcy bar.

“While I understand the Court’s analysis and strict interpretation of the applicable law, I think the ...