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IN RE GLOBE BLDG. MATERIALS, INC.

No. 05-3738.

463 F.3d 631 (2006)

In re: GLOBE BUILDING MATERIALS, INCORPORATED, Debtor. Appeal of: State of Wisconsin and Peggy Lautenschlager.

United States Court of Appeals, Seventh Circuit.

Decided September 8, 2006.

Attorney(s) appearing for the Case

Richard E. Braun (argued), Office of the Attorney General Wisconsin Department of Justice, Madison, WI, for Appellant.

Peter J. Roberts (argued), Shaw, Gussis, Fishman, Glantz, Wolfson & Towbin, Chicago, IL, for Trustee-Appellee.

Before FLAUM, Chief Judge, and BAUER and EVANS, Circuit Judges.

BAUER, Circuit Judge.

After an unsuccessful attempt to restructure, Globe Building Materials, Incorporated (Globe) was liquidated under Chapter 7 of the Bankruptcy Code. Peggy Lautenschlager, the Attorney General for the State of Wisconsin, sought to recover wages owed to former Globe employees in her state through a statutory lien. The trustee brought this adversary proceeding, and argued that the lien was avoidable under 11 U.S.C. § 545(2). Both the bankruptcy...

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