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IN RE CIRRUSCORP

No. Civil Action H-95-1485.

196 B.R. 76 (1996)

In re CIRRUSCORP, Debtor. PRINCIPAL MUTUAL LIFE INSURANCE COMPANY, Appellant, v. The JOINT COMMITTEE OF UNSECURED CREDITORS, CIRRUSCORP, Appellee.

United States District Court, S.D. Texas, Houston Division.

May 23, 1996.

Attorney(s) appearing for the Case

Jeffrey E. Spiers, Douglas G. Walter, Andrews & Kurth L.L.P., Houston, Texas, for Appellant.

Sean R.D. Gorman, Burns Wooley & Marseglia, Houston, Texas, for Appellee.

OPINION ON AFFIRMING THE BANKRUPTCY COURT

HUGHES, District Judge.

1. Introduction.

An insurance company seeks to establish a priority for its claim for expenses for the debtor's medical insurance policy for employees. Because most of the debt arose more than 180 days before CirrusCorp filed for bankruptcy, only $84,009.39 of Principal Mutual's claim is entitled to priority. The bankruptcy court's decision will be affirmed.

2. The...

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