You are here

In re American Telecom Corporation

03 B 46296

After a corporate debtor’s chapter 7 case was dismissed on creditor’s motion, creditor moved under Bankruptcy Rule 9011 to be reimbursed from the debtor’s counsel for legal work its attorney performed in response to the debtor’s improperly filed voluntary petition. The court concluded that the debtor and its attorney violated Rule 9011(b)(1) of the Federal Rules of Bankruptcy Procedure by filing its chapter 7 case with the intent to delay, frustrate, and cause expense to the creditor. The court imposed a sanction under Bankruptcy Rule 9011(c) against the debtor’s counsel for the creditor’s attorneys fees.

Date: 
Monday, January 31, 2005