Juan Gabriel Valdez and Cynthia Valdez

1:04-bk-10659NmbMay 25, 2005

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UNITED STATES BANKRUPTCY COURT
DISTRICT OF NEW MEXICO
PACER Cover Sheet
for Electronically Filed Documents
Any data shown here are current as of 	. Any element of information on this form,
except the received date, is subject to change as changes may be made to the Court's official docket.
Case Title:
Case Number:
Document Information
Description:
Date Filed:
Date Entered On
Docket:
Filer Information
Submitted By:
If this form is attached to the document identified above, it serves as an endorsed copy of the
document as it existed on the above date. To confirm that nothing has changed since then,
review the docket.
06/10/06
Juan Gabriel Valdez and Cynthia Valdez
04-10659
Order Granting in Part, Denying in Part [39-1] Application For Compensation (
Fees: $ 3,484.77, Expenses: $ 253.70) by Glen L Houston payment to Glen L.
Houston of $3093.54 in fees .
Received on: 2005-05-25 15:00:41.000
2005-05-25 00:00:00.000
2005-05-31 00:00:00.000
Patti Hennessy
Case 04-10659-m13 Doc 51 Filed 05/25/05 Entered 05/31/05 09:58:00 Page 1 of 7
1The total amount of the itemized fees and costs in Exhibit B to the First Supplemental
Application for Attorney’s Fees is $3,715.67, which includes the $194.00 used to pay the filing fee.
2The First Supplemental Application for Attorney’s Fees lists a balance of $3,112.67, which
appears to be a mathematical error.
UNITED STATES BANKRUPTCY COURT
DISTRICT OF NEW MEXICO
In re: JUAN GABRIEL VALDEZ and No. 13-04-10659 MR
CYNTHIA VALDEZ,
Debtors.
ORDER GRANTING, IN PART, and DENYING, IN PART,
FIRST SUPPLEMENTAL APPLICATION FOR ATTORNEY’S FEES
THIS MATTER is before the Court on the Application for Attorney’s Fees and the First
Supplemental Application for Attorney’s Fees (together, “Fee Application”) filed by Glen L. Houston,
attorney for the Debtor. The Fee Application seeks approval of attorneys’ fees in the total amount of
$3,521.671 as an administrative expense of the estate for the period from November 23, 2003 through
August 16, 2004. Counsel has received $600.00, from which $194.00 was used to pay the filing fee,
and $406.00 was applied to attorney’s fees, leaving an outstanding balance of attorney’s fees in the
amount of $3,115.672 plus applicable New Mexico gross receipts taxes. The Chapter 13 Trustee
objected to the Fee Application, asserting, among other things, that some of the charges are for clerical
work, and that some of the entries appear to be duplicative inasmuch as both the attorney and the
paralegal appear to be billing for the same task, or because several entries appear for the same task.
The Court held a final hearing on the Fee Application and took the matter under advisement. After
considering the Fee Application, and being otherwise sufficiently informed, the Court finds that some of
Case 04-10659-m13 Doc 51 Filed 05/25/05 Entered 05/31/05 09:58:00 Page 2 of 7
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the requested fees and costs must be disallowed. In reaching this determination the Court FINDS:
1. Pursuant to 11 U.S.C. § 330(a)(4)(B),
In a chapter 12 or chapter 13 case in which the debtor is an individual, the court may
allow reasonable compensation to the debtor’s attorney for representing the interests of
the debtor in connection with the bankruptcy case based on a consideration of the
benefit and necessity of such services to the debtor and the other factors set forth in this
section.
11 U.S.C. § 330(a)(4)(B).
2. Reasonableness is determined based upon such factors as the amount of time spent on the
service, the rate charged, and whether the services were necessary to the administration of the
bankruptcy estate. 11 U.S.C. § 330(a)(3). Compensation will not be allowed for “unnecessary
duplication of services”, for services that “were not reasonably likely to benefit the estate” nor for
services that are not “necessary to the administration of the case.” 11 U.S.C. § 330(a)(4)(A).
Similarly, when excessive time is billed for uncomplicated matters, the attorney is not entitled to
compensation for the total requested amount despite the fact that the work was actually done. See In
re Colorado-Ute Elec. Ass’n, Inc., 132 B.R. 174, 177 (Bankr.D.Colo. 1991) (“In applying for fees,
attorneys ‘should make a good-faith effort to exclude from a fee request hours that are excessive,
redundant, or otherwise unnecessary.’” (quoting Hensley v. Eckerhart, 461 U.S. 424, 434, 103 S.Ct.
1933, 1939-1940, 76 L.Ed.2d 40 (1983)). In re Reconversion Technologies, Inc., 216 B.R. 46, 56
(Bankr.N.D.Okla. 1997) (In determining the amount of reasonable compensation, the court “should
disallow hours that were 'duplicative, unproductive, excessive, or otherwise unnecessary.’” (quoting In
re Shades of Beauty, Inc., 56 B.R. 946, 951 (Bankr.E.D.N.Y.1986) (citations omitted).
3. The fee applicant bears the burden of showing entitlement to the requested compensation.
Case 04-10659-m13 Doc 51 Filed 05/25/05 Entered 05/31/05 09:58:00 Page 3 of 7
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See In re Recycling Industries, Inc., 243 B.R. 396, 402 (Bankr.D.Colo. 2000) (“It is well settled that
the burden of proof as to the reasonableness of compensation is on the fee applicant.”); In re Amdura
Corp., 139 B.R. 963, 968 (Bankr.D.Colo. 1992).
4. Time keeping records submitted in support of a fee application must sufficiently describe the
work performed to enable the Court to determine whether the fees requested are reasonable and
necessary. Amdura, 139 B.R. at 972. Descriptions for completed tasks that are too vague prevents
the Court from determining reasonableness, and may result in the denial of fees for those tasks. Id.
5. Time spent on matters that are clerical in nature is not compensable. See In re Copeland,
154 B.R. 693, 699 (Bankr.W.D.Mich. 1993) (examining fees requested by attorney for chapter 13
debtor, and noting that “The work for which lawyers receive compensation must be legal, not ministerial
or clerical.”). Rather, clerical work is part of office overhead. See Amdura, 139 B.R. at 985. For
example, time spent leaving telephone messages is not compensable as legal work. Copeland, 154
B.R. at 702.
6. The Court finds that the hourly rates requested in the Fee Application of $175.00 for work
performed by the attorney time and $75.00 for work performed by paralegals is reasonable.
7. After review of the itemized billing records attached to the Fee Application, the Court finds
that some entries must be disallowed because they are not reasonable or necessary. Specifically, the
following entries are disallowed for the reasons stated:
Date Entry Time Amount Reason for Disallowance
11/23/03 telephone call from client; Left
message to call back
.01667 $1.25 Clerical
Case 04-10659-m13 Doc 51 Filed 05/25/05 Entered 05/31/05 09:58:00 Page 4 of 7
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11/24/03 telephone call from client.
checking in on converting
case to chapter 13
.1 $7.50 Excessive
1/12/04 telephone call from Virginia
Teague with Estacado Credit
Union wanting to speak w/
Dwayne regarding client’s
bankruptcy;. Lefter her phone
number to call her at 396-
7727
.1 $7.50 Clerical
02/02/04 fax notice of bankruptcy to
court and opposing counsel;
mail notice of bankruptcy to
clients
.2 $15.00 Clerical
02/02/04 telephone call from client; he
wants to know if his case was
filed because they are going
to foreclose on his house;
advised him case was filed on
Friday 1/30/04; We did not
know the case #
.3 $22.50 Excessive
02/09/04 Rec’d, rev’d & Post re:
notice of 341hearing for
3/18/04 at 10am
.1 $7.50 Clerical
02/12/04 T>Returned Gabriel Valdez’s
cal. No answer. Left message
on answering machine.
.2 $7.50 Clerical
02/27/04 make copies of chapter 13
plan; sort, collate, and mail to
59 creditors
2.0 $150.00 Clerical
03/09/04 Cindy called to speak to RR -
left msg that would call later
.1 $7.50 Clerical
03/12/04 telephone call from client for
DB. Left message to call him
.1 $7.50 Clerical
Case 04-10659-m13 Doc 51 Filed 05/25/05 Entered 05/31/05 09:58:00 Page 5 of 7
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03/16/04 LDT.Sara with Chapter 13
trustee’s office following upon
the continuance of the § 341
hearing scheduled for
Thursday. Left Message
.05 $3.75 Clerical
03/18/04 review and sign letter to client
enclosing reminder from
Kelley Skehen
.1 $7.50 Excessive
03/19/04 preparation and mailing of §
341 hearing notice for April
22, 2004 at 10 am to 42
creditors
1.6667 $204.17 Excessive; clerical
03/19/04 Copying and mailing § 341
hearing notice to all creditors
1.0 $75.00 Duplicative; clerical
04/09/04 LTD> Jim Askew’s office
and left a message for an
extension on the Response to
Motion to Lift Stay
.1 $7.50 Clerical
04/26/04 Receive, review and Post
Notice of Hearing
.05 $3.75 Clerical
04/29/04 Nicole/WFS Financial called
re: continue pmt on vehicle?
Please call her @ 800 752-
88533 ext 26144
.05 $3.75 Clerical
05/06/04 Fax approved stipulated
order denying motion to
dismiss to Kelley Skehen
.1 $7.50 Clerical
06/16/04 Review and sign Notice of
Final Hearing on Confirmation
of Debtor’s Chapter 13 Plan
.3 $52.50 Excessive
08/03/04 Copied letter from Taxation
and Revenue Regarding Non-
Filed tax returns and mailed
to client
.1 $7.50 Clerical
Case 04-10659-m13 Doc 51 Filed 05/25/05 Entered 05/31/05 09:58:00 Page 6 of 7
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The total disallowed amount is $606.67.
WHEREFORE, IT IS HEREBY ORDERED, that the Fee Application is approved, in part,
and denied, in part. Total fees in the amount of $2,915.00, plus applicable New Mexico gross receipts
taxes in the amount of $178.54 (at the rate of .06125 as reported on the Fee Application) are allowed,
less $406.00 which counsel has already received, leaving a balance of allowed fees in the amount of
$2,687.54. The remainder of fees requested in the Fee Application are disallowed.
_________________________________________
MARK B. McFEELEY
United States Bankruptcy Judge
I certify that on the date shown on the attached
document verification, a true and correct copy of
the foregoing was either electronically transmitted,
faxed, delivered or mailed to the listed counsel
and/or parties.
Glen L. Houston
Attorney for Debtor
1304 W. Broadway Pl.
Hobbs, NM 88240
Kelley L. Skehen
Chapter 13 Truste
625 Silver SW, Suite 350
Albuquerque, NM 87102
________________________________
Patti G. Hennessy
Law Clerk
(505) 348-2545
Case 04-10659-m13 Doc 51 Filed 05/25/05 Entered 05/31/05 09:58:00 Page 7 of 7

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