Q: I am a priority claimant and former employee in a chapter 11 case in South Texas. What support is available to me?
My Claim ($560K) has been disputed stating the claim exceeds the statutory limit for priority claims under code 507 (a) (4) and to be moved to "disputed".
A: There is a statutory limit per employee of about $13,500 or so for priority (exact amount depends when the bankruptcy case was filed). The remaining amount of the claim would be reclassified as a general unsecured claim (unless there is another basis for objection). You may want to reach out to Debtor's counsel if you have questions about the specific objection, but this is a limit imposed by law, there is no other recourse.
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