MIAMI, FL– September 26, 2023- Bast Amron was mentioned in a recent article by Law 360, “ Circuit Rulings Confirm Ch. 11 Trustee Fee Refund Trend.”
Last June, the U.S. Supreme Court decided in Siegel v. Fitzgerald that certain increased quarterly U.S. trustee fees paid by Chapter 11 debtors were unconstitutional.
The Mosaic quarterly fee litigation started in 2019, when Bast Amron LLP, as trustee of an investment trust established under a confirmed Chapter 11 plan, challenged the increased quarterly fees. On direct appeal from the U.S. Bankruptcy Court for the Southern District of Florida, the Eleventh Circuit initially held that the fee increase under the 2017 act did not violate the uniformity clause.
Amron filed a petition for certiorari in the Supreme Court, which was pending when Siegel was decided. The Supreme Court subsequently summarily vacated Mosaic I and remanded the case for a remedy.
In Mosaic II, Amron sought a refund of the difference between the quarterly fees it paid and those a comparable debtor in a bankruptcy administrator district would have paid over the same period.
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