RULE 2014-1 EMPLOYMENT OF PROFESSIONAL PERSONS Modified 12/1/03
(a) Statement To Accompany Applications. Within the verified statement required by Fed. R. Bankr. P. 2014(a), the applicant shall also state whether they are a "disinterested person" within the meaning of 11 U.S.C. §101.
(b) Conflicts of Interest. All compensation may be denied where the Court determines after notice and hearing that the professional person is not a disinterested person within the meaning of 11 U.S.C. § 101, or has an actual conflict of interest in a case or proceeding in which the professional seeks compensation. An actual conflict of interest shall be presumed to exist, subject to rebuttal, where an attorney seeks to represent a debtor and its principal(s) or other insiders.
(c) Time for Filing of Application. Absent extraordinary circumstances, nunc pro tunc applications for appointment of professional persons pursuant to 11 U.S.C. §§ 327 and 1103 and Fed. R. Bankr. P. 2014, will not be considered. An application is considered timely if it is filed within thirty (30) days of the date of the filing of the bankruptcy petition, or the date the professional commences rendering services, whichever occurs later.
(d) Content of Application. Every application shall set forth the information as required by Fed. R. Bankr. P. 2014(a) and 2016(b), including a specific statement as to what payments have been made or promised to the applicant for services rendered or to be rendered in any capacity whatsoever in connection with the case, or any other arrangement regarding the payment of fees, including the existence of any guaranties for such fees and the debtor's relationship with any non-debtor entity paying or guaranteeing such fees. All retainers shall be maintained in accordance with R.I. LBR 2016-1(g).
(e) Application to Employ Professional for Specified Service. If an applicant seeks to employ a professional for a specified and discrete service to the estate, the application to employ may request total future compensation in an amount no greater than the amount contained in Fed. R. Bankr. P. 2002(a)(6), which amount will be deemed allowed if the application to employ is approved, without requiring a separate fee application to be filed. An example of a specified and discrete service is the employment of an accountant to prepare a one year tax return for a chapter 7 estate.
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District of Rhode Island