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IN RE FLAGSTAFF FOODSERVICE CORP.

Cal. No. 419, Docket 84-5024.

762 F.2d 10 (1985)

In re FLAGSTAFF FOODSERVICE CORPORATION, et al., Debtors. GENERAL ELECTRIC CREDIT CORPORATION, Respondent-Appellant, v. Nelson PELTZ, Peter May, Robert Ronnenberg, Robert Peltz and Flagstaff Foodservice Corporation, Movants-Appellees.

United States Court of Appeals, Second Circuit.

Decided May 10, 1985.

Attorney(s) appearing for the Case

Theodore Gewertz, New York City (Wachtell, Lipton, Rosen & Katz, New York City, Scheider & Wiener, Roy E. Scheider and Jeremy Galton, Newark, N.J., of counsel), for respondent-appellant General Elec. Credit Corp.

Robert L. Laufer, New York City (Paul, Weiss, Rifkind, Wharton & Garrison, and Jeffrey B. Sklaroff, New York City, of counsel) for movants-appellees Nelson Peltz, Peter May and Robert Ronnenberg.

Jarblum & Solomon, and William Jarblum, New York City, of counsel, for movant-appellee Robert Peltz.

Levin & Weintraub & Crames, and Elias Mann, New York City, of counsel, for movant-appellee Flagstaff Foodservice Corp.

Before TIMBERS, VAN GRAAFEILAND and PIERCE, Circuit Judges.

VAN GRAAFEILAND, Circuit Judge.

This appeal raises for the second time the question whether the super-priority security interest held by General Electric Credit Corporation (GECC) in all of the assets of the debtors in possession, Flagstaff Foodservice Corporation and its related companies (Flagstaff), may be subordinated to certain administrative expenses. In an earlier opinion, 739 F.2d 73

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