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In re American Housing Foundation, Debtor

United States Bankruptcy Court for the Northern District of Texas

2010 WL 2371072 (Bankr. N.D. Tex. 2010)

Relevant factsFree

Jack Traeger (plaintiff), leased by staffing company Administaff to work as a portfolio manager for American Housing Foundation (AHF) (debtor), had no employment contract with Administaff, though its policy allowed vacation benefits to accrue without specifying that employees were entitled to payment for unused vacation upon termination; after AHF entered bankruptcy and later terminated Traeger, he filed an administrative claim seeking priority payment for three weeks of accrued but unused vacation pay.

IssueFree

Whether a claim for vacation pay may qualify as an administrative claim entitled to priority status under the Bankruptcy Code.

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