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IN RE GOLDEN DISTRIBUTORS, LTD.

No. 92 Civ. 0368 (CLB).

152 B.R. 35 (1992)

In re GOLDEN DISTRIBUTORS, LTD., et al., Debtors. METROPOLITAN DISTRIBUTION SERVICES, INC., Appellant, v. LOCAL 153 OPEIU, Teamsters Local 560, Local 332, I.U.E., and Local 331, Appellees.

United States District Court, S.D. New York.

July 27, 1992.

Attorney(s) appearing for the Case

Ira G. Greenberg, Summit Solomon & Feldesman, New York City, for appellant.

David Grossman, Schneider, Cohen, Solomon, Leder & Montalbano, Cranford, NY, for defendant Local 153 OPEIU, Teamster Local 560.

David Tykulsker, Ball, Livingston & Tykulsker, Newark, NJ, for defendant Local 332 I.U.E.

MEMORANDUM AND ORDER

BRIEANT, Chief Judge.

Debtor-Appellant Metropolitan Distribution Service, Inc. appeals from a final order of the Hon. Howard Schwartzberg, Bankruptcy Judge, filed on December 17, 1991 which determined the priority of benefit claims of former employees of the debtor.

The Bankruptcy Court held that claims of non-union employees for severance pay are allowed under Section 503(b) and constitute administrative expenses pursuant to...

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