Bayou Investors Livid At Creditors' Fee Bid

Law360, New York (January 3, 2008, 12:00 AM EST) -- Bayou Group LLC investors that pulled out of the floundering fund before it collapsed are fighting the legal fees a prepetition creditors committee spelled out in its claims, saying the claims amount to a scheme for full recovery at other creditors' expense.

Eight members of the now-defunct informal committee had wanted to add the breakdown for their $1 million legal fees and expenses to their claims against Bayou's estate, since under the common fund doctrine a law firm can take part of the fund it creates...
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