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IN RE ADL CONTRACTING CORP.

Bankruptcy No. 93-B-20725.

184 B.R. 436 (1995)

In re ADL CONTRACTING CORPORATION, Debtor.

United States Bankruptcy Court, S.D. New York.

As Corrected August 9, 1995.

Attorney(s) appearing for the Case

Law Office of Charles A Sherwood by Charles Sherwood, New Haven, CT, for F & W Welding Service Inc.

Lambert & Weiss by Richard Isgard, New York City, for Aetna Cas. and Sur. Co.

U.S. Atty. for the S.D. of N.Y. by Aimee Wolfson, New York City, for I.R.S.

Law Office of Jeffrey L. Sapir, by Gloria Herzig Indik, White Plains, NY, for ADL Contracting Corp.

Decision Determining Entitlement to Funds Withheld Pending Completion Of A Construction Project

JOHN J. CONNELLY,* Bankruptcy Judge.

The question presented here is which of three creditors has priority to funds presently held in escrow by the attorney for the debtor, ADL Contracting Corporation ("ADL"). The escrowed funds represent the proceeds of a settlement of a breach of contract suit brought by ADL against the Town of Orange...

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