Irving Sulmeyer, Trustee in Bankruptcy, Etc. v. Southern California Pipe Trades Trust Fund

This is a petition for leave to appeal from a judgment of the United States District Court reversing an order entered by the referee in bankruptcy. The district court had jurisdiction to review the referee’s order under the provisions of Section 67, sub. c of Title 11 United States Code Annotated. This court has discretion to review the judgment entered by the district court under the provisions of Section 47, sub. a of Title 11 United States Code Annotated.

Respondent filed a claim in the proceedings below asserting a priority under Section 64, sub. a(2) of the Bankruptcy Act (hereinafter referred to as the “Act”). Petitioner (trustee in bankruptcy) conceded respondent’s claim to be allowable as a general claim, but objected to its allowance on a priority basis. At the hearing on petitioner’s objection, respondent’s claim was admitted to be valid as to $335.50. The referee, by order dated April 25, 1961, sustained petitioner’s objection, allowing the respondent’s original claim of $529.15 as a general claim only.

Respondent petitioned the district court for a review of the referee’s order. On June 20, 1961 the district court reversed the referee’s order, and held respondent’s…