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IN RE UPSTAIRS GALLERY, INC.

BAP No. CC-93-1433-JOP. Bankruptcy No. LA 91-64068-VZ. Adv. No. LA 92-03618-VZ.

167 B.R. 915 (1994)

In re UPSTAIRS GALLERY, INC., a California corporation, Debtor. UPSTAIRS GALLERY, INC., a California corporation, Appellant, v. MACKLOWE WEST DEVELOPMENT CO., L.P., a New York partnership, Appellee.

United States Bankruptcy Appellate Panel of the Ninth Circuit.

Decided June 7, 1994.

Attorney(s) appearing for the Case

Michael S. Kogan, Los Angeles, CA, for appellant.

Appellee did not participate.

Before JONES, OLLASON and PERRIS, Bankruptcy Judges.

OPINION

JONES, Bankruptcy Judge:

An art gallery entered into a five year lease agreement with a shopping center. Within ninety days of the art gallery's bankruptcy petition, the gallery and the shopping center entered into a termination of lease agreement with the gallery transferring about $38,000 to the shopping center. Post-petition, the art gallery, as debtor in possession, sought to avoid the $38,000 transfer as a preference pursuant to §...

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