Adding Clarity To 503(b)(9) Claims For Utilities

Law360 (June 10, 2010, 4:46 PM EDT) -- A recent decision by the U.S. Bankruptcy Court for the District of Massachusetts provides much needed guidance on the application of section 503(b)(9) to utility services provided to debtors pre-petition, a topic that bedevils lawyers, regardless of representation. That said, In re Erving Indus. Inc., Case No. 09-30623, 2010 Bankr. LEXIS 1069 (Bankr. D. Mass. April 7, 2010), is not expected to be welcomed by debtors counsel. The Erving Industries case adds to a developing body of law regarding the application of section 503(b)(9), where courts appear to be coalescing around certain conclusions and diverging on others....

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