In Re Riverside-Linden Inv. Co.

MEMORANDUM DECISION

At issue are the propriety and reasonableness of attorneys’ fees and costs charged by attorneys for the trustee in a “Supplemental Application for Final Award of Compensation ...” relating to the administration of the Chapter 7 debtor’s estate.

Also at issue is whether the trustee’s attorneys are entitled to interest on fees and costs “carried” by the attorneys pursuant to Bankruptcy Code § 726(a)(5). Kathryn Crake (“Crake”), fifty percent general partner of the debtor, objects to the fees and the applicant’s request for interest.

This court has jurisdiction to hear this matter pursuant to 28 U.S.C. § 1334 and § 157 and General Order No. 312-D of the United States District Court, Southern District of California. This is a core proceeding pursuant to 28 U.S.C. § 157 (b)(2)(A), (B) and (0).

FACTS

This court previously heard the application of Estes & Hoyt, a professional corporation (“applicant”), on January 25, 1988, regarding an application for final award of compensation or reimbursement of expenses for services rendered on behalf of the Chapter 7 trustee. On April 6, 1988, this court issued its Memorandum Decision which resulted in an order which…