Circuit split · bankruptcy law
Whether an employer's unpaid workers' compensation insurance premiums qualify as 'contributions to an employee benefit plan' entitled to priority under 11 U.S.C. § 507(a)(5) in bankruptcy
1 federal appellate case on this question, each acknowledging the disagreement in its own words.
Fourth Circuit Court of Appeals · March 24, 2005
“In holding that claims for unpaid workers’ compensation insurance premiums enjoy the same priority as claims for unpaid employee fringe benefits, the judgment of the majority widens a split among the circuits, joining the Ninth Circuit as the only circuit that has so held.” — Acknowledges a circuit split
“3d at 226-27 , expressing regret that we are now widening the split among the circuits.” — Acknowledges a circuit split
Empirical analysis of this case →
The provision at issue
11 U.S.C. § 507 — Priorities
“(a) The following expenses and claims have priority in the following order: (1) First: (A) Allowed unsecured claims for domestic support obligations that, as of the date of the filing of the petition in a case under this title, are owed to or recoverable by a spouse, former spouse, or child of the debtor, or such child's parent, legal guardian, or responsible relative, without regard to whether the claim is filed by such person or is filed by a governmental unit on behalf of such person, on the condition that funds received under this …”Read the full section →
The other side of the split
Decisions the acknowledging court(s) named as the opposing or joined side, quoted in the acknowledging opinion's own words.
- Joined by · 9th Cir.Employers Ins. of Wausau v. Plaid Pantries, Inc.10 F.3d 605
- Declined to follow · 6th Cir.Travelers Prop. Cas. Corp. v. Birmingham-Nashville Express, Inc. (In re Birmingham-Nashville Express, Inc.)224 F.3d 511
- Declined to follow · 10th Cir.State Ins. Fund v. Southern Star Foods, Inc. (In re Southern Star Foods, Inc.)144 F.3d 712
- Declined to follow · 8th Cir.Employers Ins. of Wausau, Inc. v. HLM Corp. (In re HLM Corp.)62 F.3d 224
What the split turns on
- Anchor precedents:
- Embassy Restaurant ·
- Joint Industry Board
Cases are grouped by the legal question they announce a split on, classified from the court's own acknowledgment sentence. Verified acknowledgments only. Counter-side decisions are extracted from the acknowledging opinions' own text and linked only when the citation resolves in this corpus. See all circuit splits.