Office of the U.S. Trustee v. John Q. Hammons was a case related to fees collected on bankruptcy cases. Since the 1980s, trustees appointed by the judicial branch have administered bankruptcy cases in two states — Alabama and North Carolina — while cases in the other 48 states have been administered through the Department of Justice’s Office of the U.S. Trustee. The fees in Alabama and North Carolina were significantly lower than the fees charged in DOJ-administered states (the deficit came out of the budget for the judiciary), and in 2022 the Supreme Court ruled that the disparate fees were unconstitutional. In this case, the Supreme Court considered whether the DOJ needs to refund fees paid in 48 states since 1986 to match those charged in Alabama and North Carolina, or whether additional fees must be collected from North Carolina and Alabama debtors.

On June 14, 2024, in a 6-3 decision, the Supreme Court denied the request for a refund. Justices Thomas, Gorsuch, and Barrett dissented.

Powerbroker-Affiliated Organizations

Organization

U.S. Chamber of CommerceRead the amicus brief

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  Koch Network

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  Horatio Alger Association