%1
How a Landlord's Administrative Claim for Stub Rent Could Be Curtailed under § 503(b)
The majority of real property leases provide for prepayment of rent on the first of each month.[1] However, tenants filing for chapter 11 do not always pay on the day their rent is due and payable. This creates situations where tenants will fail to pay rent when it is due, subsequently file for bankruptcy and then occupy the premises after the petition date. While these debtors may use and occupy the premises after filing for bankruptcy, landlords are not necessarily without a remedy to collect money for that period.