Local 140 Security Fund Claimant-Appellant v. William S. Hack, Trustee in Bankruptcy of Sleep Products, Inc.

LEIBELL, District Judge.

In the above entitled bankruptcy proceeding Local 140 Security Fund filed a claim for $2,400. It further asserted that the claim was entitled to priority as a claim for “wages” pursuant to Section 64, sub. a(2) of the Bankruptcy Act.1 A petition to expunge the Fund’s claim was filed with the Referee by the trustee of the bankrupt. Prior to a hearing on the petition, a stipulation of facts was entered into and the amount of the claim was reduced to $993.75. The claimant’s right to priority for the reduced amount, as a claim for “wages,” was contested before the Referee.…