THE ETHICS OF REPRESENTING DEBTORS AND CREDITORS IN BANKRUPTCY

(2d Cir. 1996)(if services are reasonably likely to benefit estate, they should be compensable).

⁶⁹ In re Smart World Technologies LLC, 423 F3d. 166 (2d Cir. 2005).

70Id.

⁷¹In re Foster Mortgage Corp., 68 F.3d 914 (5th Cir. 1995).

⁷²Id.; In re Bowman, 181 B.R. 836 (Bankr. D. Md. 1995).

⁷³Matter of Central Ice Cream, 836 F.2d 1068, 1072-73 (7th Cir. 1987); In re Bowman, 181 B.R. 836 (Bankr. D. Md. 1995). See also In re Mercury, 280 B.R. 35 (Bankr. S.D.N.Y. 2002) (settlement of personal injury claim must take into account views of injured debtors).

⁷⁴In re Bowman, 181 B.R. 836, 845 (Bankr. D. Md. 1995). The court in Bowman relied heavily on a bankruptcy court case without discussing the related appellate decision. In re Central Ice Cream, 59 B.R. 476 (Bankr. N.D. Ill. 1985), discussed in related sanctions ruling, Matter of Central Ice Cream, 836 F.2d 1068, 1072-73 (7th Cir. 1987). See also In re Kelso, 196 B.R. 363 (Bankr. N.D. Tex. 1996)(if creditors object to settlement, proper remedy is to seek a trustee); In re RJ Manufacturing, Inc., 2004 WL 764669 (Bankr. N.D. Iowa 2004)(trustee to evaluate settlement because of debtor's inherent conflict while estate bore all risk).

⁷⁵In re Quality Beverage Co., Inc., 181 B.R. 887, 894-95 (Bankr. S.D. Tex. 1995); see In re Martin, 91 F.3d 389 (3d Cir. 1996)(trustee may opt not to support settlement if circumstances change); In re Sparks, 190 B.R. 842 (Bankr. N.D. Ill. 1996)(trustee duty to bring better offer to attention of court and creditors despite settlement agreement).

⁷⁶In re Integrated Telecom Express, Inc., 384 F.3d 108 (3d Cir. 2004) (filing solely to cap landlord's

damages claim was in bad faith); In re SGL Carbon Corp., 200 F.3d 154 (3d Cir. 1999); see also In re Silberkraus, 336 F.3d 864 (9^th Cir. 2003) (solvent debtor forum-shopping in case where reorganization over objecting plaintiff was impossible); In re Fraternal Composite Service, Inc., 315 B.R. 247 (Bankr.

N.D.N.Y. 2003); In re Liptak, 304 B.R. 820 (Bankr. N.D. Ill. 2004) (solvent individual chapter 11 debtor); compare In re Sylmar Plaza, L.P., 314 F.3d 1070 (9^th Cir. 2002) (bankruptcy to avoid default interest was not in bad faith).

⁷⁷Dunes Hotel Associates v. Hyatt Corp., 245 B.R. 492 (D. S.C. 2000).

⁷⁸See In re Scott, 172 F.3d 959 (7^th Cir. 1999)(duty of full disclosure in disclosure statement, in

response to requests of parties in interest; duty to accurately document DIP business and preserve records); In re Sharon Steel Corp., 871 F.2d 1217 (3d Cir. 1989); In re V Companies, 274 B.R. 721 (Bankr.

N.D. Ohio 2002); In re AG Service Centers, L.C., 239 B.R. 545 (Bankr. W.D. Mo. 1999); In re Bonneville Pacific Corp., 147 B.R. 803 (Bankr. D. Utah 1992) rev'd in part Hansen, Jones & Leta v. Segal, 220 B.R. 434 (D. Utah 1998); In re V. Savino Oil & Heating Co., Inc., 99 B.R. 518 (Bankr. E.D.N.Y. 1989); In re Modern Office Supply, Inc., 28 B.R. 943 (Bankr. W.D. Okla. 1983); In re Ford, 36 B.R. 501 (Bankr. W.D. Ky. 1983); In re Vallejo, 77 B.R. 365 (Bankr. D. P.R. 1987); In re Wells, 71 B.R. 554 (Bankr. N.D. Ohio 19897); In re Philadelphia Athletic Club, Inc., 15 B.R. 60 (Bankr. E.D. Pa. 1981). ⁷⁹In re Gregory, 214 B.R. 570 (S.D. Tex. 1997); In re Texasoil Enterprises, Inc., 296 B.R. 431 (Bankr.

N.D. Tex. 2003); In re NWFX, Inc., 267 B.R. 118 (Bankr. W.D. Ark. 2001)(pay only court-authorized attorneys); In re Honey Creek Entertainment, Inc., 246 B.R. 671 (Bankr. E.D. Okla. 2000); In re 239 Worth Ave. Corp., 236 B.R. 492 (Bankr. S.D. Fla. 1999); In re V. Savino Oil & Heating Co., Inc., 99 B.R. 518 (Bankr. E.D.N.Y. 1989); In re Wells, 71 B.R. 554 (Bankr. N.D. Ohio 1987); In re Humphreys Pest Control Franchises, Inc., 40 B.R. 174 (Bankr. E.D. Pa. 1984); In re Alvey, 56 B.R. 170 (Bankr. W.D. Ky. 1985).

⁸⁰In re Coserv, L.L.C., 273 B.R. 487 (Bankr. N.D. Tex. 2002).
⁸¹In re Centennial Textiles, Inc., 227 B.R. 606 (Bankr. S.D.N.Y. 1998).