Opinion ID: 317782
Heading Depth: 1
Heading Rank: 4

Heading: General Order 44

Text: 51 Appellants further contend that no fee can be allowed to the attorneys for the debtor because they were not appointed by the Bankruptcy Court pursuant to General Order 44. 6 52 General Order 44 provides that 'no attorney for a receiver, trustee or debtor in possession shall be appointed except upon the order of the court.' This provision does not on its face cover an attorney for a debtor who is not in possession. 8 Collier on Bankruptcy P5.34, at 716 (14th ed. 1971) states as follows: 53 'General Order 44 does not apply to an attorney for a debtor not in possession, or to an attorney for a bankrupt prior to the filing of a Chapter XI petition under 321 in a pending bankruptcy proceeding.' 54 In support of their contention with respect to General Order 44, appellants rely primarily on In re Hydrocarbon Chemicals Inc., 411 F.2d 203 (3rd Cir. in banc), cert. denied, 396 U.S. 823, 90 S.Ct. 66, 24 L.Ed.2d 74 (1969). We find that decision to be factually distinguishable and not controlling in the case at bar. 55 In In re Hydrocarbon Chemicals, the matter was originally a Chapter XI proceeding and subsequently was converted to a Chapter X proceeding. While in Chapter XI, the Bankruptcy Court appointed a receiver who retained two sets of attorneys on order of the court. Thereafter, the fee claimants-- attorneys who were retained by the debtor's attorney without court approval-- settled claims of creditors and removed the Government's jeopardy tax assessment. A majority of the judges of the Third Circuit determined that such services 'were clearly among the duties of the receiver which should have been performed by him and his attorneys.' 411 F.2d at 206.