United States Bankruptcy Court for the Northern District of New York Albany and Utica Division RIGHTS AND RESPONSIBILITIES OF CHAPTER 13 DEBTORS AND THEIR ATTORNEYS It is important for Chapter 13 debtors to under their rights and responsibilities. It is also important that the debtors know that communicating with their attorney(s) is essential to successfully completing their plan. Debtors should also know that they may expect certain services to be performed by their attorney. In order to assure that debtors and their attorney understand their rights and responsibilities in the bankruptcy process, the following guidelines approved by the Court are hereby agreed to by the debtors and their attorneys unless the Court orders otherwise: (Nothing in this Agreement shall be construed to excuse an attorney for any ethical duties or responsibilities under FRBP 9011 or applicably non-bankruptcy law.) BEFORE THE CASE IS FILED The debtor agrees to: 1. Provide the attorney with accurate financial information and timely provide all requested documentation. 2. Discuss with the attorney the debtor's objectives in filing the case. The attorney agrees to: 1. Meet with the debtor to review the debtor's debts, assets, liabilities, income, and expenses. 2. Counsel the debtor regarding the advisability of filing either a Chapter 7 or Chapter 13 case, outlining the procedures with the debtor, and answering the debtor's questions. 3. Explain what payments will be made directly by the debtor and what payments will be made through the debtor's Chapter 13 plan, with particular attention to mortgage and vehicle loan payments, as well as any other claims which accrue interest. 4. Explain to the debtor how, when, and where to make the Chapter 13 plan payments. 5. Explain to the debtor how the attorney's fees are paid and provide an executed copy of this document to the debtor. 6. Explain to the debtor that the first plan payment must be made to the Trustee within 30 days of the date the plan is filed. 7. Advise the debtor of the requirement to attend the 341 Meeting of Creditors, and instruct the debtor as to the date, time, and place of the meeting. 8. Advise the debtor of the necessity of maintaining liability and hazard insurance on all real property as well as liability, collision, and comprehensive insurance on vehicles securing loans or leases. 9. Timely prepare and file the debtor's petition, plan, statements, and schedules. AFTER THE CASE IS FILED The debtor agrees to: 1. Keep the Trustee and attorney informed of the debtor's address and telephone number. 2. Inform the attorney of any wage garnishments or attachments of assets which occur or continue after the filing of the case. 3. Contact the attorney promptly if the debtor loses his/her job or has other financial problems. 4. Let the attorney know if the debtor is sued during the case. American LegalNet, Inc. www.FormsWorkFlow.com 5. Inform the attorney if any tax refunds the debtor is entitled to are seized or not returned to the debtor by the IRS or Franchise Tax Board. 6. Contact the attorney before buying, selling or refinancing any property and before entering into any loan agreements to find out what approvals are required. The attorney agrees to: 1. Appear at the 341 Meeting of Creditors with the debtor. 2. Respond to objections to plan confirmation, and where necessary, prepare an amended plan 3. Prepare, file, and serve necessary modifications to the plan which may include suspending, lowering, or increasing plan payments. 4. Prepare, file, and serve necessary amended statements and schedules, in accordance with information provided by the debtor. 5. Prepare, file, and serve such motions as are needed during the case including, but not limited to, motions to avoid liens, sell property, approve settlements, approve new debt etc. 6. Timely review all proofs of claim. 7. Timely object to improper or invalid proofs of claims based upon information and documentation provided by the debtor if such objection is necessary and beneficial to the debtor or to the estate. 8. Represent the debtor in connection motions for relief from stay and for dismissal or conversion of the case. 9. Where appropriate, prepare, file, and serve necessary motions to partially or wholly avoid liens on real or personal property pursuant to sections 506 or 522. 10. Communicate with the debtor by telephone or by being available for office appointments to discuss pending issues or matters of concern. 11. Provide such other legal services as are necessary for the proper administration of the present case before the Bankruptcy Court. Approval for legal fees in the total sum of $________ will be requested by the attorney. The attorney has received $_________ prepetition (the initial retainer) and requests payment of the balance of $________ through the Chapter 13 plan. Legal fees to be paid to the attorney shall be a "flat fee" for all services to be rendered in this case. Additional fees may be awarded and paid to the attorney if an extraordinary level of service is provided. If such occurs, the attorney shall apply to the Court for any additional fees and all such fees shall be paid through the plan unless otherwise ordered. The attorney may not receive fees directly from the debtor other than the initial retainer. If the debtor disputes the legal services provided or charged by the attorney, the debtor must advise the Court or the Chapter 13 Trustee in writing and the matter set for hearing. The attorney may move to withdraw pursuant to Local Bankruptcy Rule 2091-1, or the client may discharge the attorney at any time. Dated: _________________________________ Debtor _________________________________ Debtor _________________________________ Attorney for Debtor(s) American LegalNet, Inc. www.FormsWorkFlow.com Dated: Dated: