In re Millwork Specialties Inc.
May
04
2012
Ruling
General manager and president allowed administrative expense claim for postpetition wages to the extent work was necessary for operation of debtor's business.
Procedural posture
Creditor applied for the allowance and payment of an administrative expense, in the form of wages for his postpetition work on behalf of the debtor. The chapter 7 trustee argued the application should be denied because creditor's foregoing wages was akin to a capital contribution because creditor held a membership interest in the debtor, and so was not entitled to administrative priority.
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Court
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