“What we’re doing are the things we didn’t have time to do in any way during the period I would say from 2008 into 2013.” – Hon. Laura Taylor
B
etter times have given bankruptcy judges a chance to catch their breath and work on projects that were put off during the worst of the Great Recession, said Laura Taylor, chief judge of the U.S. Bankruptcy Court, Southern District of California in San Diego. “During the days when we had 100-plus matter calendars, there was only so much that you could do,” Taylor said. “What we’re doing are the things we didn’t have time to do in any way during the period I would say from 2008 into 2013.” Among them are revising rules and forms for Chapter 13 filings, including a review of “presumptive reasonable rates,” which are the fees bankruptcy lawyers are allowed to charge without requiring court approval. “That is a fee that is presumptively reasonable, so that’s something that we’re looking at, what people in the community would customarily charge, sort of a baseline assumption,” Taylor said. “If you want more than that, the process would allow a fee application. They can always come in and say, ‘Hey, I want a million dollars to do a Chapter 13 case.’ We’ll have a hearing on that.” Working with the San Diego County Bar Association, the court also is reviewing the requirements and responsibilities statement lawyers must sign as part of a bankruptcy case, “saying they understand
U.S. BANKRUPTCY COURT FOR THE SOUTHERN
DISTRICT OF CALIFORNIA
the services people are paying for, these are the services that will be provided,” Taylor said. “We’re going to be looking at that, as well, to make sure the representation is what we want it to be,” Taylor said. “Otherwise, you have people coming in representing somebody and they’re charging low dollars, but they’re really not providing the services the person needs to be successful in a bankruptcy case.” From a peak of more than 20,000 cases a year, the bankruptcy court is down to a more manageable work load of less than 10,000 in 2015 and 2016. “That brings in a different set of challenges,” Taylor said. “They have fewer cases, but they’re bringing us more complex matters.” The Southern District court along with bankruptcy courts in Alaska, New Jersey and Oregon, also is piloting a new updated digital case management system, Taylor said. “We’re getting the technology earlier, but we’re also getting it while it still has bugs and part of our job is to try to work around the bugs and advise the administrative office of the court what needs to be fixed,” Taylor said. “I’m excited about it because I think there are great tools there.” The new system will allow judges to build electronic notebooks that will aggregate
information, including case notes, motions, and documents supporting the motions. “It will pull down just what we need,” Taylor said. “It’s going to save us significant time in preparing materials for a hearing.” Unlike some other courts, social media hasn’t been an issue in bankruptcy court. “We don’t do jury trials. I think the big impact of social media is the potential for tainting the jury pool, so I don’t have that problem,” Taylor said. “I think we all know, as a jurist, we need to stay off it.” Taylor’s advice to lawyers new to bankruptcy court is to learn the rules and follow them. “The important thing, when you come into bankruptcy court, is to understand that we’re federal. It’s amazing how many people miss that,” Taylor said.
Hon. Laura Taylor, Chief Judge of the U.S. Bankruptcy Court for the Southern District of California
July/August 2016 SAN DIEGO LAWYER 25