Opinion ID: 658305
Heading Depth: 2
Heading Rank: 3

Heading: Estimation of the Secured Lessors' Claims

Text: 47 A bankruptcy court must estimate any contingent or unliquidated claim, the fixing or liquidation of which, as the case may be, would unduly delay the administration of the case. 11 U.S.C. Sec. 502(c)(1) (1988). Pursuant to Section 502(c)(1), the bankruptcy court estimated Frito-Lay's contingent, general unsecured claims for indemnification, but found it unnecessary to estimate the secured lessors' contingent unimpaired claims. On appeal, Frito-Lay does not argue that the bankruptcy court improperly estimated its claims, but asserts rather that the court was additionally bound to estimate the secured lessors' claims. The clearly stated purpose of Section 502(c)(1) is to allow estimation of claims in order to avoid undue delay in the administration of bankruptcy proceedings; the Plan having been substantially consummated, Frito-Lay's argument that the secured lessors' claims should have been estimated is now moot.