Entitled, "One Group Always Wins in Bankruptcy: The Lawyers," Cahill's blog post examines how corporate bankruptcy favors attorneys and other professionals who steer companies through the process. According to Cahill, Chicago-based Tribune Co. paid professional services fees approaching $300 million during the four-year reorganization that ended December 31, and Comdisco Inc. has paid more than $9 million to the law firm of the trustee overseeing a Chapter 11 case that was filed in 2001 and is ongoing.
In his blog post, Cahill commends Dean Rapoport for her recent work examining bankruptcy fees: "I agree with bankruptcy fee examiner Nancy Rapoport, a law professor at the University of Nevada-Las Vegas, who says firms should have to demonstrate that the stated fee isn't just a 'rack rate' by presenting evidence that 'people really pay it in the real world.'"
Congratulations, Nancy!
