In re Mac-Go Corp.

MEMORANDUM ORDER RE: CHAPTER 7 TRUSTEE’S OBJECTION TO PROOF OF CLAIM FILED BY FIRST NATIONAL BANK OF CALIFORNIA

First National Bank of Northern California (“FNB”) seeks the allowance of its proof of claim that it filed on November 26, 2014 in this bankruptcy case. The bulk of the claim consists of attorney’s fees and costs that FNB incurred in litigation with the Chapter 7 Trustee. On March 20, 2015, this court entered an order finding that the attorney’s fees and costs that FNB incurred in defending against the Chapter 7 Trustee’s avoidance claims arising from payments made on the Mac-Go Loan (as defined below) fell within the ambit of the attorney’s fees clauses in the parties’ applicable commercial loan documents. The March 20th order was of limited scope, however, and it did not determine whether (a) these attorney’s fees and *710 costs constituted an allowed secured or unsecured claim under the Bankruptcy Code; (b) FNB was entitled to attorney’s fees and costs arising from its defense of the claims stemming from the separate Woodland and SSF Loans (as defined below); and (c) FNB timely filed its proof of claim in this Chapter 7 case. Moreover, the March 20 th order did not…