The following is an illustrative MOTION OF [SUPPLIER] FOR ALLOWANCE OF ADMINISTRATIVE EXPENSE CLAIM PURSUANT TO 11 U.S.C. 503(b)(9).  Increasingly, Bankruptcy Courts are modifying the approved standard claims form to allow for assertion of an administrative priority claim under 503(b)(9).  The local rules and the orders entered in the applicable bankruptcy case should be carefully reviewed.

 

UNITED STATES BANKRUPTCY COURT

DISTRICT OF DELAWARE

In re: [Bankrupt Customer’s Name] Reorganized Debtor.	)	Chapter [7] [11]Case No. 00-00000-AAA
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[Name of Customer’s Bankruptcy Representative] Plaintiff, v. [Your Company’s Name] Defendant	)	Adversary Proceeding No. 00-000000
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MOTION OF [SUPPLIER] FOR ALLOWANCE OF

ADMINISTRATIVE EXPENSE CLAIM PURSUANT TO 11 U.S.C. 503(b)(9)

[___________________] (“[Supplier]”), by and through its undersigned attorneys, hereby requests the entry of an order, pursuant to 11 U.S.C. § 503(b)(9), allowing [Supplier] an administrative expense claim in the amount of $[_________]. In support of its Motion, [Supplier] states as follows:

JURISDICTION

1.  On [___________] (the “Petition Date”), each of the above-captioned debtors (collectively, the “Debtors”) filed its voluntary petition for relief under chapter 11 of title 11 of the United States Code (the “Bankruptcy Code”) in the United States Bankruptcy Court for the District of Delaware (the “Court”).

2. This Court has jurisdiction over this motion pursuant to 28 U.S.C. §157 and 1334(b).  This matter is a core proceeding pursuant to 28 U.S.C. §157(b)(2)(A) and (B). Venue is proper in this District pursuant to 28 U.S.C. §1408 and 1409.

BACKGROUND

3.  [Supplier] manufactures, among other things, for the [__________] industry.  [Supplier] regularly sold some of these products to [Bankrupt Customer] before the Petition Date.

4. In the 20 days preceding the Petition Date, [Bankrupt Customer] received goods that [Supplier] sold on credit to [Bankrupt Customer] in the ordinary course of [Bankrupt Customer]’s business. Such goods included [__________________________________] (the “Goods”) and had an aggregate value of $[___________], as identified on the invoices and proofs of delivery attached hereto as Exhibit A.

5. As of the date of this Motion, [Supplier] has not received payment for the Goods.

RELIEF REQUESTED

6. [Supplier] respectfully requests that this Court allow [Supplier]’s administrative expense claim in the amount of $[___________] for the Goods pursuant to section 503(b)(9) of the Bankruptcy Code.

BASIS FOR RELIEF

7. Section 503(b)(9) of the Bankruptcy Code provides, in pertinent part, that:

After notice and a hearing, there shall be allowed, administrative expenses. .. [for] the value of any goods received by the debtor within 20 days before the date of commencement of a case under this title in which the goods have been sold to the debtor in the ordinary course of such debtor’s business.

11 U.S.C. § 503(b)(9).

8. As evidenced by the invoices and proofs of delivery attached hereto as Exhibit A, during the 20 days preceding the Petition Date, [Bankrupt Customer] received from [Supplier] the Goods valued in aggregate at $[___________].  [Supplier] sold the Goods to [Bankrupt Customer] on credit in the ordinary course of [Bankrupt Customer]’s business, and [Supplier] has not yet received payment for the Goods. [Supplier] is accordingly entitled to an allowed administrative expense claim against [Bankrupt Customer] in the aggregate amount of $[___________].

9. [Supplier] reserves its right to assert claims against the Debtors for amounts not contemplated by this Motion or allowed by the Court pursuant to section 503(b)(9) and to amend, modify and/or supplement this request, as appropriate under the circumstances.

WHEREFORE, [Supplier] respectfully requests that the Court enter an order substantially in the form attached hereto as Exhibit B: (i) allowing [Supplier]’s administrative expense claim in the amount of $[___________] pursuant to section 503(b)(9) of the Bankruptcy Code and (ii) granting such other and further relief as may be just and proper under the circumstances.

Delta, Echo and Foxtrot

 

Counsel to [Supplier]