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Application to Employ

Official Procedure Last Change December 1, 2022

Application to Employ

How to file: 

Location of event: Bankruptcy > Motions, Applications & Briefs > Employ, Application to

  • 11 USC 327, 1103, 1107
  • FRBP 2014, 6003
  • S. D. Ind. B-2014-1

General Information

  • The Court cannot grant an Application to Employ in the first twenty-one days after the filing of the case except to the extent that the relief is necessary to avoid immediate and irreparable harm.
  • Other than in Chapter 11 and 12, no objection notice is required, although the Court will not enter an order for 14 days (or longer if the 21 day period mentioned above has not passed) to allow for the filing of any objections.
  • In Chapter 11 and 12 cases, an application to employ attorney for the debtor must be filed within 14 days from the date the case was filed or converted to those chapters.
  • Chapter 13 Debtors who are using a Professional to pursue the sale, determination or collection of property of the estate pursuant to 11 U.S.C. § 1306, including claims that arise post-petition, shall file a Notice of Retention and Compensation Terms as to each Professional retained (view flowchart). An Application to Employ should not be filed.
  • Requests for payment of subrogation liens must not be included in an Application to Employ - these should be addressed via a Motion to Compromise and/ or Settle under Rule 9019.
  • Chapter 11 and 12 cases only: Requests for periodic payments to professionals via draws on retainer may be included in an Application to Employ or may be filed separately using the event, Motion to Establish Procedures for Interim Compensation.

Filing requirements

  • The Application to Employ must always be filed in the legal case, not in a related adversary proceeding.
  • The Application must describe the proposed terms of employment. If employment is to be at an hourly rate, the proposed hourly rates of all professionals who will work on the case must be provided. If employment is on a contingent fee basis, the percentages and triggering events must be disclosed.
  • If the Application is to employ an auctioneer or liquidator, it must state whether or not the auctioneer/liquidator is bonded, and if so, give the name of the bonding company.
  • A certificate of service must be included.
  • A verified statement of the person to be employed must be filed setting forth the person's connections with the debtor, creditors, any other party in interest, their respective attorneys and accountants, the U.S. Trustee or any person employed in the office of the United States Trustee. Note that any connections with any party on the case must be disclosed, even if no conflict of interest arises. A person might have a connection to a party on the case but still be disinterested. For instance, if the person being employed is the debtor's uncle, that connection must still be disclosed even if the uncle has no financial connections with the debtor. The Statement may be included in the Motion or filed separately using Bankruptcy > Miscellaneous > Verified Statement re: Application to Employ.
  • Filing party is responsible for uploading a proposed order.
  • Chapter 11 and 12 cases only: A a 21-day objection notice must be included with the Application. The notice must contain the information required by S. D. Ind. B-2014-1.

Step-by-Step Instructions

1. Log into CM/ECF.

2. Select Bankruptcy > Motions, Applications & Briefs.

3. Enter case number (in the format xx-xxxxx) and click Next.

4. Select Employ, Application to from the event list and click Next.

5. Select appropriate radio button to indicate whether or not the Motion you are filing is amended.

6. Check box if jointly filing with another attorney. Click Next.

7. If you indicated that you are filing jointly with other attorney(s), select additional attorney(s) and click Next.

Note: You cannot add attorneys. Only attorneys who have previously entered an appearance will be available for selection.

8. Select the party filer. If the party is not listed, or cannot be selected, view instructions on adding a new party. Click Next.

Note: The "Attorney/Party Association” screen may appear. If your party selection was correct, check the box to create an association and click Next.

9. Browse to attach the document to be filed (pdf file). Click Next.

Note: The Motion and Verified Statement may be a single pdf file, or the Verified Statement may be added as an attachment by choosing the Yes radio button underneath the Browse button.

10. Enter name of person to be employed and select their position from the drop-down box. Choose the correct radio button to indicate whether you are also filing the Verified Statement, then click Next.

11. Chapter 11 cases only: Select the correct radio button regarding proposal to draw on retainer and click Next.

12. If you indicated in step 5 that you are filing an amended motion, all pending motions on the docket are displayed. Select the motion that is being amended and click Next.

13. Select prefix text, if applicable, and click Next.

Note: The prefix text option is not available if you indicated in Step 5 that the Motion you are filing is amended.

14. Verify final docket text. If correct, click Next to submit.

Note: The Notice of Electronic Filing displays giving you the document number. Copies of this notice are immediately e-mailed to all participants who receive electronic notification in the case.

15. Upload proposed order. The Order must include name of who is being employed and purpose (e.g. accountant, auctioneer etc.)