Bankr. L. Rep. P 75,031 in Re Roberts Farms Incorporated, Debtor. Roberts Farms Incorporated v. Glenn Bultman John Kelly

In the Chapter 11 proceeding of Roberts Farms Incorporated, the bankruptcy court allowed, over the objection of Roberts Farms, the claim of Bultman and «Kelly for attorneys fees in the amount of $144,-898.14. The Bankruptcy Appellate Panel affirmed. This appeal followed. We have jurisdiction under 28 U.S.C. § 158 (d), and we affirm. ■

BACKGROUND

In 1984, Roberts Farms Incorporated (“Roberts Farms”) hired the law firm of O’Melveny & Meyers (“O’Melveny”) to defend against a multi-million dollar lawsuit, the CIN litigation. O’Melveny subsequently associated Bultman & Kelly (“B & K”) as local counsel. On April 24, 1985, Hollis Roberts, president of Roberts Farms, and John Kelly of B & K met to establish a direct employment relationship. At that meeting, Mr. Kelly orally agreed to continue defending Roberts Farms in the CIN litigation. In return, Mr. Roberts orally agreed to pay B & K directly and timely for services rendered.

Pursuant to this agreement, B & K provided legal assistance to Roberts Farms in the CIN litigation from April 1985 to January 1987. B & K billed Roberts Farms for these services by mailing it monthly statements. Roberts Farms timely paid B & K’s statements for…