- BAP No. NV-13-1294
- In an unpublished opinion, the 9th Circuit BAP affirmed the imposition of asanction of the partial disgorgement of the fees of a Chapter 7 debtor's counsel for failure to list a known debt on the debtor's schedules.
- Procedural context:
- Appeal to the BAP for the Ninth Circuit of order entered by the Bankruptcy Court for the District of Nevada
- In a prior Chapter 7 case (which was dismissed), the debtor listed an unsecured creditor. Without reviewing those prior schedules, the debtor's attorney filed schedules in her subsequent Chapter 7 case that failed to include that debt. After a discharge was entered and the case closed, the assignee of that debt filed an adversary complaint pursuant to §§ 523(a) and 727 during which proceeding, the Bankruptcy Court entered issued an order to show cause why debtor's counsel should not be sanctioned under the court's inherent based on violations of § 707 and the Nevada Rules of Professional Conduct. The Bankruptcy Court ruled ordering disgorgement of $851 of the attorney's $1,499 fee.
- Pappas, Jury, Houle
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