48 U.S.C. § 2178 — Disclosure by professional persons seek-

Page 373 TITLE 48—TERRITORIES AND INSULAR POSSESSIONS § 2178 1 See References in Text note below. § 2175. Role and capacity of Oversight Board (a) Actions of Oversight Board For the purposes of this subchapter, the Over- sight Board may take any action necessary on behalf of the debtor to prosecute the case of the debtor, including— (1) filing a petition under section 2164 of this title; (2) submitting or modifying a plan of adjust- ment under sections 2172 and 2173 of this title; or (3) otherwise generally submitting filings in relation to the case with the court. (b) Representative of debtor The Oversight Board in a case under this sub- chapter is the representative of the debtor. (Pub. L. 114–187, title III, § 315, June 30, 2016, 130 Stat. 584.) § 2176. Compensation of professionals (a) Compensation for services rendered and re- imbursement for expenses After notice to the parties in interest and the United States Trustee and a hearing, the court may award to a professional person employed by the debtor (in the debtor’s sole discretion), the Oversight Board (in the Oversight Board’s sole discretion), a committee under section 1103 of title 11, or a trustee appointed by the court under section 926 of title 11— (1) reasonable compensation for actual, nec- essary services rendered by the professional person, or attorney and by any paraprofes- sional person employed by any such person; and (2) reimbursement for actual, necessary ex- penses. (b) Award of compensation less than amount re- quested The court may, on its own motion or on the motion of the United States Trustee or any other party in interest, award compensation that is less than the amount of compensation that is requested. (c) Factors considered In determining the amount of reasonable com- pensation to be awarded to a professional per- son, the court shall consider the nature, the ex- tent, and the value of such services, taking into account all relevant factors, including— (1) the time spent on such services; (2) the rates charged for such services; (3) whether the services were necessary to the administration of, or beneficial at the time at which the service was rendered toward the completion of, a case under this chapter; 1 (4) whether the services were performed within a reasonable amount of time commen- surate with the complexity, importance, and nature of the problem, issue, or task ad- dressed; (5) with respect to a professional person, whether the person is board certified or other- wise has demonstrated skill and experience in the restructuring field; and (6) whether the compensation is reasonable based on the customary compensation charged by comparably skilled practitioners in cases other than cases under this subchapter or title 11. (d) Services ineligible for compensation The court shall not allow compensation for— (1) unnecessary duplication of services; or (2) services that were not— (A) reasonably likely to benefit the debtor; or (B) necessary to the administration of the case. (e) Offset for interim compensation under sec- tion 2177 of this title The court shall reduce the amount of com- pensation awarded under this section by the amount of any interim compensation awarded under section 2177 of this title, and, if the amount of such interim compensation exceeds the amount of compensation awarded under this section, may order the return of the excess to the debtor. (f) Compensation for preparation of fee applica- tion Any compensation awarded for the prepara- tion of a fee application shall be based on the level and skill reasonably required to prepare the application. (Pub. L. 114–187, title III, § 316, June 30, 2016, 130 Stat. 584.) Editorial Notes REFERENCES IN TEXT This chapter, referred to in subsec. (c)(3), was so in the original, but probably should have been a reference to ‘‘this title’’, meaning title III of Pub. L. 114–187, June 30, 2016, 130 Stat. 577, which is classified generally to this subchapter. Pub. L. 114–187 does not contain chapters. § 2177. Interim compensation A debtor’s attorney, or any professional per- son employed by the debtor (in the debtor’s sole discretion), the Oversight Board (in the Over- sight Board’s sole discretion), a committee under section 1103 of title 11, or a trustee ap- pointed by the court under section 926 of title 11, may apply to the court not more than once every 120 days after an order for relief in a case under this subchapter, or more often if the court permits, for such compensation for services ren- dered before the date of such an application or reimbursement for expenses incurred before such date as is provided under section 2176 of this title. (Pub. L. 114–187, title III, § 317, June 30, 2016, 130 Stat. 585.) § 2178. Disclosure by professional persons seek- ing approval of compensation under section 2176 or 2177 of this title (a) Definitions In this section: (1) List of Material Interested Parties The term ‘‘List of Material Interested Par- ties’’ means the List of Material Interested Parties established under subsection (c)(1). Page 374 TITLE 48—TERRITORIES AND INSULAR POSSESSIONS § 2191 (2) Oversight Board The term ‘‘Oversight Board’’ has the mean- ing given the term in section 2104 of this title. (b) Required disclosure (1) In general In a case commenced under section 2164 of this title, no attorney, accountant, appraiser, auctioneer, agent, or other professional person may be compensated under section 2176 or 2177 of this title unless prior to making a request for compensation, the professional person has filed with the court a verified statement con- forming to the disclosure requirements of rule 2014(a) of the Federal Rules of Bankruptcy Procedure setting forth the connection of the professional person with any entity or person on the List of Material Interested Parties. (2) Supplement A professional person that submits a state- ment under paragraph (1) shall promptly sup- plement the statement with any additional relevant information that becomes known to the person. (3) Disclosure Subject to any other applicable law, rule, or regulation, a professional person that fails to file or update a statement required under paragraph (1) or files a statement that the court determines does not represent a good faith effort to comply with this section shall disclose such failure in any filing required to conform to the disclosure requirements under rule 2014(a) of the Federal Rules of Bank- ruptcy Procedure. (c) List of Material Interested Parties (1) Preparation Not later than 30 days after January 20, 2022, the Oversight Board shall establish a List of Material Interested Parties subject to— (A) the approval of the court; and (B) the right of the United States trustee or any party in interest to be heard on the approval. (2) Inclusions Except as provided in paragraph (3), the List of Material Interested Parties shall include— (A) the debtor; (B) any creditor; (C) any other party in interest; (D) any attorney or accountant of— (i) the debtor; (ii) any creditor; or (iii) any other party in interest; (E) the United States trustee and any per- son employed in the office of the United States trustee; and (F) the Oversight Board, including the members, the Executive Director, and the employees of the Oversight Board. (3) Exclusions The List of Material Interested Parties may not include any person with a claim, the amount of which is below a threshold dollar amount established by the court that is con- sistent with the purpose of this section. (d) Review (1) In general The United States trustee shall review each verified statement submitted pursuant to sub- section (b) and may file with the court com- ments on such verified statements before the professionals filing such statements seek com- pensation under section 2176 or 2177 of this title. (2) Objection The United States trustee may object to ap- plications filed under section 2176 or 2177 of this title that fail to satisfy the requirements of subsection (b). (e) Limitation on compensation In a case commenced under section 2164 of this title, in connection with the review and ap- proval of professional compensation under sec- tion 2176 or 2177 of this title filed after January 20, 2022, the court may deny allowance of com- pensation or reimbursement of expenses if— (1) the professional person has failed to file the verified disclosure statements required under subsection (b)(1) or has filed inadequate disclosure statements under that subsection; or (2) during the professional person’s employ- ment in connection with the case, the profes- sional person— (A) is not a disinterested person (as de- fined in section 101 of title 11) relative to any entity or person on the List of Material Interested Parties; or (B) represents or holds an adverse interest in connection with the case. (Pub. L. 117–82, § 2, Jan. 20, 2022, 136 Stat. 3.) Editorial Notes REFERENCES IN TEXT The Federal Rules of Bankruptcy Procedure, referred to in subsec. (b)(1), (3), are set out in the Appendix to Title 11, Bankruptcy. This section, referred to in subsec. (c)(3), was in the original ‘‘this Act’’, meaning Pub. L. 117–82, Jan. 20, 2022, 136 Stat. 3, known as the Puerto Rico Recovery Accuracy in Disclosures Act of 2021 and also as PRRADA, which enacted this section and provisions set out as a note under section 2101 of this title. CODIFICATION Section was enacted as part of the Puerto Rico Re- covery Accuracy in Disclosures Act of 2021, also known as PRRADA, and not as part of the Puerto Rico Over- sight, Management, and Economic Stability Act, also known as PROMESA, which comprises this chapter. SUBCHAPTER IV—MISCELLANEOUS PROVISIONS § 2191. Rules of construction Nothing in this chapter is intended, or may be construed— (1) to limit the authority of Congress to ex- ercise legislative authority over the terri- tories pursuant to Article IV, section 3 of the Constitution of the United States; (2) to authorize the application of section 2124(f) of this title (relating to issuance of sub- poenas) to judicial officers or employees of territory courts;