In re Davis
| Decision Date | 20 December 1932 |
| Docket Number | 25,639 |
| Citation | 183 N.E. 547,204 Ind. 227 |
| Parties | In Re Davis |
| Court | Indiana Supreme Court |
1. ASSIGNMENTS FOR BENEFIT OF CREDITORS---Assignee's Compensation for Services---Court's Duty to Allow.---It is the duty of the court to allow just compensation to an assignee for benefit of creditors for his services. p. 229.
2. ASSIGNMENTS FOR BENEFIT OF CREDITORS---Assignee's Duty to Protect Estate---Authority to Employ Attorney.---It is the duty of the assignee of an embarrassed debtor to administer the trust to the best advantage and to protect it, and to this end he may employ and pay for necessary assistance including an attorney. p. 229.
3. ASSIGNMENTS FOR BENEFIT OF CREDITORS---Compensation for Assignee and Attorney.---Where an assignee details in his report the services rendered by him and by his attorney, and makes a sworn statement as to their value, he is ordinarily entitled to credit for such sum in the absence of any adverse evidence. p. 229.
4. ATTORNEY AND CLIENT---Court Qualified to Value Legal Services---Independently of Expert Evidence.---A court independently of expert evidence, is usually qualified to and may judge the value of legal services. p. 230.
5. ASSIGNMENTS FOR BENEFIT OF CREDITORS---Compensation for Assignee and His Attorney---Hearing as to Value Should not be Denied.---As assignee, making a sworn statement as to value of services of himself and his attorney, was entitled to a hearing on the reasonableness of the charges made and to present evidence regarding the value of their services, and the court should not arbitrarity, without notice and without granting them the opportunity to present their evidence, determine the value thereof. p. 230.
From Henry Circuit Court; J. R. Hinshaw, Judge.
In reassignment of Howard S. Davis. From an order overruling a motion of Chase P. Mauzy, assignee, to set aside a prior order fixing fees for services, and denying the assignee and his attorney a hearing on the value of their services, the assignees appealed.
Reversed.
J. H Kiplinger and Paul Brown, for appellant.
Chase P. Mauzy, as assignee for the benefit of creditors of Howard P. Davis, filed his final report in the matter of such assignment, in which he claimed as credits payment of $ 475 to himself and $ 600 to his attorneys as fees for services.
It appears from the partial and final reports that Davis conducted a mercantile business. The total charges in the estate were $ 8,348.14. Claims were allowed in the sum of $ 18,448.58; two claims were contested, one for $ 6,417.69 and one for $ 539.08.
The final report, in explaining the credits claimed for the assignee and his attorney, states that a large amount of work was done by them; that the assignee put in time inventorying and selling the property and investigating the claims; that the attorney was compelled to spend time in the administration of the estate and to be absent from his office on many occasions; and that the sums charged were fair and reasonable charges for the services rendered.
The final report was filed June 21, 1927. It was submitted to the court and taken under advisement on January 30, 1928. No action was taken by the court until June 8, 1928, when the court made an order fixing the fee of the assignee at $ 375 and the fee of the attorney at $ 400 and directing the assignee to pay to the clerk for distribution to the creditors the sum of $ 300 and that upon...
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