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§ 503(b)(1)(A)

Phillips v. Rapides Primary Health Care Ctr.

Ruling
Bankruptcy court erred in holding that sick and vacation pay were not administrative claims.
Procedural posture

Upon removal of a state court suit filed by a creditor, a former doctor employee, the bankruptcy court granted summary judgment to defendant chapter 11 debtor health center, holding that sick and vacation pay were not former 11 U.S.C. §§ 503(b) and 507(a)(1), administrative claims, dismissing state law claims, and holding the automatic stay was violated. The doctor appealed.

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opinion summary, case decided on August 07, 2006 , LexisNexis #0906-080

Ideal Aerosmith Inc. v. Carco Elecs. (In re Carco Elecs.)

Ruling
Administrative expense was denied since claimant did not resume debtor's closed operations for benefit of estate.
Procedural posture

In a chapter 11 matter, movant claimant, pursuant to 11 U.S.C. § 503(b)(1)(A), sought an allowed administrative expense in the amount of $455,708. Respondent was debtor. Debtor and its related finance entity objected to the motion.

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opinion summary, case decided on July 25, 2006 , LexisNexis #0806-085

Mazda Am. Credit v. Brown (In re Brown)

Ruling
Court denied creditor's administrative expense claim for excess mileage on leased vehicle since creditor did not show vehicle use preserved or benefitted debtors'estate.
Procedural posture

Pursuant to 11 U.S.C. § 503(a), creditor filed a motion for payment of an administrative expense for damages allegedly arising from the breach of a lease of a pickup truck that the creditor contended that the debtors assumed in their chapter 13 case. The debtors disputed that any such damages should be allowed as an administrative expense.

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opinion summary, case decided on July 07, 2006 , LexisNexis #0806-053

In re Hayes Lemmerz Intl Inc.

Ruling
Court granted lessor part of its administrative expense application since lessor showed damages within the allowed time period.
Procedural posture

A chapter 11 matter was before the court for decision following trial and briefing on the applications of a lessor for allowance and payment of an administrative expense for damages allegedly sustained to machines it leased to debtor.

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opinion summary, case decided on March 28, 2006 , LexisNexis #0406-085

Estate of Centennial Communs. v. Longtain (In re Centennial Communs.)

Ruling
Court affirmed an order that allowed a creditor's claim for a super-priority administrative expense since the amounts the creditor advanced were shown to be for the estate's benefit.
Procedural posture

Appellant debtor sought review of a decision of the bankruptcy court that denied its motion for reconsideration of an earlier order that allowed a creditor's claim for a super- priority administrative expense and allowed the creditor to share in a pro rata distribution for the remainder of her claim, which included a loan to the debtor or its officers.

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opinion summary, case decided on February 15, 2006 , LexisNexis #0406-013

In re Main Line Corp.

Ruling
Commission payments for consulting services were not entitled to treatment as an administrative expense under section 503(b)(1)(A).
Procedural posture

After debtor filed a voluntary chapter 11 bankruptcy petition, movant individual filed a motion for allowance and payment of an administrative claim. The individual claimed that the debtor received payments post-petition from customers secured through the individual's consulting services. The debtor moved for summary judgment.

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opinion summary, case decided on February 01, 2006 , LexisNexis #0506-045

In re Blurton

Ruling
Debtors were not granted administrative fees for payment of attorneys' fees since their counsel was not employed by or approved by the trustee.
Procedural posture

Debtors filed a motion for payment of an administrative claim under 11 U.S.C. § 503(b). The debtors sought payment of attorney's fees and reimbursement of appraisal costs. They also requested reimbursement for mileage and for "administrative hours" composed of the personal time both debtors spent on the case. Both the chapter 7 trustee and the United States trustee filed objections.

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opinion summary, case decided on December 13, 2005 , LexisNexis #0106-011

Orland Holdings LLC v. Rhodes Inc. (In re Rhodes Inc.)

Ruling
Creditor was denied motion for full monthly rental payment pursuant to a lease but was granted motion for payment of postfiling use of the premises as an administrative expense.
Procedural posture

Petitioner debtor leased nonresidential real property from respondent creditor pursuant to a lease agreement requiring the payment of annual rent in equal monthly installments on the first day of each month. The debtor filed for bankruptcy on November 4, 2004, without having paid the rent for November 2004. The creditor moved for an order compelling the debtor to pay the full monthly lease rent payment. The debtor contested the motion.

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opinion summary, case decided on November 17, 2005 , LexisNexis #0206-071