I must have been absent during this section b/c I can't for the life of me remember (or find in my notes) how 507's priority scheme works. Does it matter that 1 comes before 3 or do all priority creditors get a pro rata share IN FULL before general unsecured creditors or does each priority unsecured creditor get paid in full before the next priority unsecured creditor gets any money?
Edit: 726(a)(1) says that "property of the estate shall be distributed: (1) first, in payment of claims of the kind specified in, and in the order specified in, section 507...."
That helps a little, but I still really need to know about the pro rata share vs. paid in full situation. Also, I wonder if ALL 507 priority unsecured claims must be paid in full before ANY general unsecured claims under 726....help?
(Study Tips, Dealing With Stress, Maintaining a Social Life, Financial Aid, Internships, Bar Exam, Careers in Law . . . )
1 post • Page 1 of 1
Who is online
Users browsing this forum: MSNbot Media, RCSOB657 and 3 guests