San Marino Bankruptcy Attorney, Bankruptcy Lawyer, Bankruptcy Code 11 USC Section 1171

TITLE 11 - BANKRUPTCY
CHAPTER 11 - REORGANIZATION
    SUBCHAPTER IV - RAILROAD REORGANIZATION

-HEAD-
    Sec. 1171. Priority claims

-STATUTE-
      (a) There shall be paid as an administrative expense any claim of
    an individual or of the personal representative of a deceased
    individual against the debtor or the estate, for personal injury to
    or death of such individual arising out of the operation of the
    debtor or the estate, whether such claim arose before or after the
    commencement of the case.
      (b) Any unsecured claim against the debtor that would have been
    entitled to priority if a receiver in equity of the property of the
    debtor had been appointed by a Federal court on the date of the
    order for relief under this title shall be entitled to the same
    priority in the case under this chapter.

-SOURCE-
    (Pub. L. 95-598, Nov. 6, 1978, 92 Stat. 2643; Pub. L. 98-353, title
    III, Sec. 522, July 10, 1984, 98 Stat. 388.)


                       HISTORICAL AND REVISION NOTES                   

                          LEGISLATIVE STATEMENTS                      
      Section 1171 of the House amendment is derived from section 1170
    of the House bill in lieu of section 1173(a)(9) of the Senate
    amendment.

                          HOUSE REPORT NO. 95-595                      
      [Section 1170] This section [enacted as section 1171] is derived
    from current law. Subsection (a) grants an administrative expense
    priority to the claim of any individual (or of the personal
    representative of a deceased individual) against the debtor or the
    estate for personal injury to or death of the individual arising
    out of the operation of the debtor railroad or the estate, whether
    the claim arose before or after commencement of the case. The
    priority under current law, found in section 77(n) [section 205(n)
    of former title 11], applies only to employees of the debtor. This
    subsection expands the protection provided.
      Subsection (b) follows present section 77(b) of the Bankruptcy
    Act [section 205(b) of former title 11] by giving priority to any
    unsecured claims that would be entitled to priority if a receiver
    in equity of the property of the debtor had been appointed by a
    Federal court on the date of the order for relief under the
    bankruptcy laws. As under current law, the courts will determine
    the precise contours of the priority recognized by this subsection
    in each case.

                                AMENDMENTS                            
      1984 - Subsec. (b). Pub. L. 98-353 substituted "the same" for
    "such".

                     EFFECTIVE DATE OF 1984 AMENDMENT                 
      Amendment by Pub. L. 98-353 effective with respect to cases filed
    90 days after July 10, 1984, see section 552(a) of Pub. L. 98-353,
    set out as a note under section 101 of this title.

-End-
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