Bankrupt Firm Trustees Lose Bid for ‘Unfinished Business’July 2, 2014 – In The News
Yann Geron was featured in The Am Law Daily's article, "Bankrupt Firm Trustees Lose Bid for 'Unfinished Business'." Full text can be found in the July 2, 2014, issue, but a synopsis is below.
In a case involving the bankruptcies of Thelen and Coudert Brothers, New York's state Court of Appeals ruled that the hourly fees attorneys earn through client matters can be transferred when attorneys switch firms because they are not owned by their old partnerships.
As a trustee, Yan Geron pursued this fee issue on behalf of Thelen and insisted that it was his duty as a trustee to attempt to collect as much as possible on behalf of Thelen's creditors.
Geron continued on to say, "Until today, the doctrine of unfinished business included hourly fee matters, as it does in several jurisdictions outside New York applying the same statute. On behalf of creditors, we are disappointed by the court's decision, but respect that it is a unanimous ruling which gives trustees and law firms a clear path forward in New York."
This article was first published in The Am Law Daily's sister publication, The New York Law Journal.