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IN RE MAMMOTH MART, INC.

No. 76-1055.

536 F.2d 950 (1976)

In re MAMMOTH MART, INC., Debtor. Stanley CRAMER et al., Appellants, v. MAMMOTH MART, INC., Appellee.

United States Court of Appeals, First Circuit.

June 18, 1976.

Attorney(s) appearing for the Case

Samuel Zaharoff, Boston, Mass. and Gary Snerson, Wellesley Hills, Mass., for appellant.

Charles P. Normandin, Boston, Mass., for appellee.

Before COFFIN, Chief Judge, McENTEE and CAMPBELL, Circuit Judges.

COFFIN, Chief Judge.

The sole issue in this appeal is whether a severance pay claim, which is determined by the length of a former employee's service with a bankrupt company and which arises from a discharge during a Chapter XI proceeding, is entitled to priority as a "cost and expense of administration" under § 64(a)(1) of the Bankruptcy Act, 11 U.S.C. § 104(a)(1). Appellants are two former employees of Mammoth Mart, Inc. (Mammoth Mart), a discount department...

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