Warning: The local rules of the bankruptcy courts for the four districts in Texas have specific requirements for the content of the captions of pleadings and orders, and they are all different. The practitioner should consult the local rules of the bankruptcy court for the district in which he intends to file for the specific requirements as to the content of captions. See section 35.1:2 in this chapter.
[Caption. See form 35-3 in this chapter.]
Motion of [name of creditor] for Allowance of Administrative Expense Claim under 11 U.S.C. § 503(b)(9)
[Name of creditor] (“Claimant”) files its Motion of [name of creditor] for Allowance of Administrative Expense Claim under 11 U.S.C. § 503(b)(9) (the “Motion”) and shows:
Summary of Relief Requested
1.Claimant seeks entry of an order allowing Claimant an administrative expense claim in the amount of $[amount] under section 503(b)(9) of the Bankruptcy Code for goods received by the debtor within twenty days prior to the petition date.
Background
1.On [date] (the “Petition Date”), [name of debtor] (the “Debtor”) filed a 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 [Northern/Southern/Western/Eastern] District of Texas, [city] Division (the “Bankruptcy Court”).
2.Debtor is operating its businesses and managing its affairs as a debtor and debtor in possession under sections 1107(a) and 1108 of the Bankruptcy Code.
3.Claimant was a supplier of [describe goods] to Debtor prior to Petition Date.
4.Within twenty days before the petition date, Debtor received goods, as identified in the attached Exhibit [number/letter], that were sold to Debtor by the claimant in the ordinary course of Debtor’s business (the “Goods”). The value of the Goods was $[amount].
Argument and Authorities
6.Section 503 of the Bankruptcy Code provides for the allowance of administrative expense claims. Section 503(a) provides that an entity may file a request for the payment of an administrative expense claim. Administrative expense claims are granted priority of payment pursuant to section 507 of the Bankruptcy Code. Further, in a bankruptcy case under Chapter 11, a plan of reorganization may not be confirmed without payment of allowed administrative expense claims. 11 U.S.C. § 1129(a)(9)(A). The term “administrative expense” is not defined in the Bankruptcy Code. Section 503(b) provides a nonexclusive list of categories of administrative expense claims. In 2005, Congress added three new categories of claims entitled to administrative expense priority under section 503(b) of the Bankruptcy Code. Among them, section 503(b)(9) was added. In pertinent part, section 503(b)(9) provides that:
(b) After notice and a hearing, there shall be allowed administrative expenses, other than claims allowed under section 502(f) of this title, including—
. . .
(9) 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).
7.Claimant sold the Goods to Debtor in the ordinary course of Debtor’s business, and Debtor received the Good within twenty days before the petition date. The value of the Goods sold by Claimant to Debtor was $[amount]. Under section 503(b)(9) of the Bankruptcy Code, Claimant is entitled to an administrative expense claim in the amount of $[amount]. On allowance, Claimant requests the Court to order Debtor to immediately pay Claimant’s administrative expense claim.
8.Claimant expressly reserves its right to assert additional claims against Debtor and to amend, modify, or supplement this request.
WHEREFORE, Claimant requests that the Court enter an Order allowing Claimant an administrative expense claim under section 503(b)(9) of the Bankruptcy Code in the amount of $[amount], requiring payment of the administrative expense claim immediately, and granting such other relief as the Court deems just and proper.
Date: [date]. Respectfully submitted,
[Name]
Attorney for [name of client]
State Bar No.:
[E-mail address]
[Address]
[Telephone]
[Telecopier]