⇐  Back To Index  | Next Page   ⇒

2006 NORTON BANKRUPTCY LAW SEMINAR MATERIALS

THE ETHICS OF REPRESENTING DEBTORS AND CREDITORS IN BANKRUPTCY

By Susan M. Freeman

*This outline is adapted from Chapter 27, Ethical Responsibilities,
Norton Bankruptcy Law & Practice 2d (Thomson-West 2005)

 

mittee counsel breached duties).

472Baldwin United, 38 B.R. at 804-05 (reasoning from shareholder derivative suits); Christian Life Centers, supra; Cf. In re Tucker Freight Lines, Inc., 62 B.R. 213 (Bankr. W.D. Mich. 1986)(committee members lack absolute immunity from creditor's lawsuit charging solicitation of rejection of debtor's plan with allegedly fraudulent representations). See In re Circle K Corp., 199 B.R. 92 (Bankr. S.D.N.Y. 1996)(disclosure of opinions to committee constituent did not waive work product privilege, although

constituent is not client of committee counsel).

473In re Fibermark, Inc., 330 B.R. 480 (Bankr. D. Vt. 2005).

474Cf. In re F.A. Potts & Company, 30 B.R. 708 (Bankr. E.D. Penn. 1983)(rule applied to debtor); but

see In re Mortgage & Realty Trust, 212 B.R. 649 (Bankr. C.D. Cal. 1997)(non-waiver of debtor privilege by communication to committee under joint defense doctrine).

475 In re Fibermark, Inc., 330 B.R. 480, 499 (Bankr. D. Vt. 2005).

476 11 U.S.C. §1102(b)(3).

477 See §V.C., D.

478 11 U.S.C. §1102(b)(3); In re Handy Andy Home Improvement Centers, Inc., 199 B.R. 376 (Bankr.

N.D. Ill. 1996). 479 See In re Circle K Corp., 199 B.R. 92 (Bankr. S.D.N.Y. 1996) (work product privilege not thereby waived); In re Baldwin-United Corp., 38 B.R. 802 (Bankr. S.D. Ohio 1984) (shareholder derivative suit analogy). 480 In re Bevill, Bresler & Schulman Asset Management Corp., 805 F.2d 120 (3d Cir. 1986); In re Asia Global Crossing, Ltd., 322 B.R. 247 (Bankr. S.D.N.Y. 2005); In re Mortgage & Realty Trust, 212 B.R. 649 (Bankr. C.D. Cal. 1997); see In re Cumberland Inv. Corp., 120 B.R. 677 (Bankr. D. R.I. 1990)(privilege dissolved upon showing of fraud by one party); In re Michigan Boiler and Engineering Co., 87 B.R. 465 (Bankr. E.D. Mich. 1988). For a thorough discussion of the doctrine, see Stone, Hodapp & Sauro, The

Common Interest or Pooled Information Privilege, 20 Colo. Lawyer 225 (Feb. 1991).

481 In re Pittsburgh Corning Corp., 308 B.R. 716 (Bankr. W.D. Pa. 2004).

482 In re Indiantown Realty Partners Ltd. Partnership, 270 B.R. 532 (Bankr. S.D. Fla. 2001); Securities

Investor v. R.D. Kushnir & Co., 246 B.R. 582 (Bankr. N.D. Ill. 2000).

483 S.I.P.C. v. Stratton Oakmont, 213 B.R. 433 (Bankr. S.D.N.Y. 1997).

484 In re Ducane Gas Grills, Inc., 320 B.R. 312 (Bankr. D.S.C. 2004); S.I.P.C. v. Stratton Oakmont,

213 B.R. 433 (Bankr. S.D.N.Y. 1997); In re Michigan Boiler and Engineering Co., 87 B.R. 465 (Bankr.

E.D. Mich. 1988); In re Blier Cedar Co., Inc., 10 B.R. 993 (Bankr. D. Me. 1981). 485 In re Tri-River Trading, LLC, 329 B.R. 252 (8th Cir. BAP 2005); In re Mirant Corp., 326 B.R. 646 (Bankr. N.D. Tex. 2005); In re Indiantown Realty Partners Ltd. Partnership, 270 B.R. 532 (Bankr. S.D. Fla. 2001); In re Santa Fe Trail Transportation Co., 121 B.R. 794 (Bankr. N.D. Ill. 1990); see In re Sunrise Securities Litigation, 130 F.R.D. 560 (E.D. Pa. 1989); but see Meoli v. American Medical Service of San Diego, 287 B.R. 808 (S.D. Cal. 2003) (trustee waived privilege only as to debtor entity; not as to affiliate also represented by that lawyer). 486 In re Mirant Corp., 326 B.R. 646 (Bankr. N.D. Tex. 2005); S.I.P.C. v. Stratton Oakmont, 213 B.R. 433 (Bankr. S.D.N.Y. 1997). 487 Pryor v. Schneider, 106 B.R. 352 (E.D.N.Y. 1989)(former shareholder of debtor corporation named as defendant in fraudulent transfer action entitled to depose attorney who represented him and the corpora

tion in the transaction at issue); In re Hendrick, 56 B.R. 280 (Bankr. M.D. La. 1985). 488 Matter of Grand Jury Subpoena, etc., Nov. 16, 1974, 406 F. Supp. 381 (S.D.N.Y. 1975); Ortho

 

⇐  Back To Index  | Next Page   ⇒

Copyright 2006 Norton Institutes