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IN RE KASSON INC., U.S.A.

Bankruptcy No. 89-02083.

109 B.R. 352 (1989)

In re KASSON INC., U.S.A., Debtor.

United States Bankruptcy Court, E.D. Wisconsin.

December 28, 1989.

Attorney(s) appearing for the Case

Peter C. Blain, Milwaukee, Wis., for debtor.

Reid W. Klopp, Madison, Wis., for State of Wisconsin Dept. of Agriculture, Trade & Consumer Protection.

Jerome D. Krings, Milwaukee, Wis., for NFO Members' Dairy Custodial Account and Natl. Farmers Organization.

Raymond S. Huber, Clintonville, Wis., for various milk suppliers.

John A. St. Peter, Fond du Lac, Wis., for Associated Milk Producers, Inc.

Benjamin Waisbren, Milwaukee, Wis., for unsecured creditors' committee.

John Robert Byrnes, Milwaukee, Wis., Asst. U.S. Trustee.

Paul S. Medved, Milwaukee, Wis., for First Wisconsin Nat. Bank of Sheboygan.

DECISION

JAMES E. SHAPIRO, Bankruptcy Judge.

Objections by Kasson Inc., U.S.A. ("debtor") to the priority claims of 281 milk producers (commonly referred to as "patron farmers" or "milk suppliers") have been presented to this court. The issue is as follows:

Do the claims due to the milk suppliers, accruing within 90 days before the date of filing of debtor's chapter 11 petition, qualify as "wages" within the meaning of 11 U.S.C. § 507(a)(3...

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