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11 U.S.C. § 331Interim compensation

submitted 48 years ago by Pub. L. 95-598 to r/title-11-BANKRUPTCY · 99 words · no verdicts yet

in plain englishAI-generated · not legal advice

Trustees, examiners, and certain professionals in bankruptcy cases can ask for partial payment before the case ends. They can apply no more than once every 120 days, unless the court allows more often. The court decides how much to pay after a hearing.

A trustee, an examiner, the debtor's attorney, or a professional person employed under section 327 or 1103 may apply to the court for compensation for services already rendered, or reimbursement for expenses already incurred, as provided under section 330. They cannot apply more than once every 120 days after the order for relief in the case, unless the court permits more frequent applications. After notice and a hearing, the court may allow and disburse compensation or reimbursement to that applicant. This lets these participants get paid along the way, instead of waiting until the whole case is finished, while the actual standard for what counts as reasonable compensation is set out in section 330.
the actual law source: uscode.house.gov ↗public domain

A trustee, an examiner, a debtor’s attorney, or any professional person employed under section 327 or 1103 of this title may apply to the court not more than once every 120 days after an order for relief in a case under this title, or more often if the court permits, for such compensation for services rendered before the date of such an application or reimbursement for expenses incurred before such date as is provided under section 330 of this title. After notice and a hearing, the court may allow and disburse to such applicant such compensation or reimbursement.

Source credit: (Pub. L. 95–598, Nov. 6, 1978, 92 Stat. 2564.)

history & why it existsrecord from the source credit
  • 1978Enacted · Pub. L. 95-598 · 92 Stat. 2564

A history note hasn’t been published yet. The record shows enactment by Pub. L. 95-598 on 1978-11-06.

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