Opinion
Case No. 01-16034 (AJG), Jointly Administered, Chapter 11
February 22, 2002
Upon the motion, dated January 24, 2002 (the "Motion"), of Enron Corp. and certain of its direct and indirect subsidiaries, as debtors and debtors in possession (collectively, the "Debtors"), for an order, pursuant to section 327 of title 11 of the United States Code (the "Bankruptcy Code"), approving the employment, effective as of the December 2, 2001, of certain professionals utilized by the Debtors in the ordinary course of their business (expressly excluding professionals for whom one or more of the Debtors have filed separate retention applications with this Court) (collectively, the "Ordinary Course Professionals"), as more fully described in the Motion; and it appearing that the Court has jurisdiction to consider the Motion in accordance with 28 U.S.C. § 157 and 1334; and it appearing that the relief requested in the Motion is in the best interest of the Debtors, their estates and creditors; and it appearing that due and proper notice of the Motion has been given and no further notice need be given; and upon the proceedings before the Court; and good and sufficient cause appearing;
IT IS HEREBY ORDERED THAT:
1. The Motion, as amended hereby, is granted.
2. Pursuant to section 327 of the Bankruptcy Code, to the extent deemed necessary or appropriate by the Debtors, the Debtors are authorized to employ the Ordinary Course Professionals listed on Exhibit "A" hereto in the ordinary course of their business, effective as of the date of the commencement of the Debtors' chapter 11 cases.
3. The Debtors are authorized to supplement the list of Ordinary Course Professionals from time to time during these cases, as the need arises, and file such supplemental lists with the Court and serve same on the United States Trustee, attorneys for the Debtors' postpetition lenders and the statutory committee of unsecured creditors, and if no objections to any such supplemental list are filed within twenty (20) days after service thereof, the retention of such Ordinary Course Professionals shall be deemed approved by the Court pursuant to section 327 of the Bankruptcy Code without the need for a hearing.
4. The Debtors are authorized and empowered but not required to pay compensation and reimburse expenses to each of the Ordinary Course Professionals retained pursuant to this Order in the customary manner billed by each such professional upon receipt of reasonably detailed invoices indicating the nature of the services rendered and calculated in accordance with such professional's standard billing practices (without prejudice to the Debtors' right to dispute any such invoices) up to $50,000 per month per such professional on average over a rolling six-month period, with the exception of URS Greiner Woodward Clyde, which shall bill up to $50,000 per month on average over a rolling twelve-monthperiod, provided, however, that, subject to the provisions in decretal paragraph 5 hereof, no Ordinary Course Professional shall receive in excess of $500,000 in the aggregate in these chapter 11 cases.
5. In order for an Ordinary Course Professional to receive compensation in excess of the $50,000 per month cap or the $500,000 aggregate cap during the pendency of these chapter 11 cases, such Ordinary Course Professional shall file a fee application for the full amount of their fees and disbursements in accordance with sections 330 and 331 of the Bankruptcy Code, the Federal Rules of Bankruptcy Procedure, the Local Rules of the Bankruptcy Court for the Southern District of New York, the Fee Guidelines promulgated by the Executive Office of the United States Trustee and any applicable orders of the Court.
6. Each professional retained as an Ordinary Course Professional shall file with the Court, within fifteen (15) days following the later of: (i) entry of this Order and (ii) the date of the professional's engagement by the Debtors in these chapter 11 cases, an affidavit, in substantially the form annexed hereto as Exhibit "B," pursuant to section 327 of the Bankruptcy Code setting forth that such professional does not represent or hold any interest adverse to the Debtors or to their respective estates. The affidavit shall be filed with the Court in accordance with General Order M-242, which can be found at www.nysb.uscourts.gov.
7. The Debtors shall (i) file with the Court a quarterly statement (a "Statement") setting forth (a) the name of the Professional; (b) the aggregate amount paid to such Professional during the previous 90 days and (c) a general description of the services rendered by each Professional and (ii) serve such Statements on the Office of the United States Trustee and counsel for the statutory committee of unsecured creditors appointed in these cases (the "Creditors' Committee") on January 31, April 30, July 31 and October 31 of every year that these cases are pending. The Office of the United States Trustee and the Creditors' Committee shall have thirty (30) days following the filing of a Statement to file objections to payments to a particular Ordinary Course Professional reflected on the Statement. In the event an objection to the amounts paid to an Ordinary Course Professional is filed, the Court shall determine the reasonableness and necessity of such fees and expenses.
8. This Order shall not apply to any professional retained by the Debtors pursuant to a separate order of this Court.
ORDINARY COURSE PROFESSIONALS MOTION EXHIBIT A
EEOS Name of Firm Contact Address Phone Number Estimated Description of Information Monthly Services Fees A.F. R. Shehadeh Law Office Avukat Yilmaz Oz Crawford Bayley Co Gibbs Bruns, LLP King Spalding Ritch, Heather y Mueller, S.C Speechly Bircham Torres Plaz Araujo ENRON ENERGY SERVICES. INC. ENRON POWER MARKETING. INC. Name of Firm Contact Address Phone Number Estimated Description of Information Monthly Services Fees Carroll Gross L.L.P PALM BEACH DEVELOPMENT COMPANY, L.L.C. Name of Firm Contact Address Phone Number Estimated Description of Information Monthly Services Fees Greenberg, Traurig ENRON NORTH AMERICA CORP. Name of Firm Contact Address Phone Number Estimated Description of Information Monthly Services Fees Crosby, Heafey, Roach May Michael R. Woods, P.C Littler Mendelson McCutcheon, Doyle, Brown Emersen, LLP The Law Offices of Coe F. Miles, P.C Pruitt Gushee Bachtell Allan Thompson Tindall Foster Netherland, Sewell Associates, Inc Patch Inc URS Greiner Woodward Clyde AMEC EC Services, Inc ENRON Name of Firm Contact Address Phone Number Estimated Description of Information Monthly Services Fees Tonkon Torp, L.L.P Byrd, Davis, Eisenberg, Walter Furman Pat Makin, Esq
On average over a twelve-month period.