00 and allowing Landlord Creditor to apply the balance of the security deposit to partially pay down its prepetition general unsecured claim of $221,612.96, 11 U.S.C. § 503(a) and (b) (generally, a creditor may file a request for payment of an administrative expense claim, which shall be allowed after notice and hearing); 3 March, Ahart and Shapiro, California Practice Guide: Bankruptcy, ¶¶ 17:1760 and 17:1761 at 17-228 (2015)(distributions to creditors in a Chapter 7 bankruptcy case generally coincides with filing of trustee's final account, but the court has power to authorize interim distributions upon assurance of sufficient remaining funds to pay all administrative expense claims), citing inter alia, Federal Rule of Bankruptcy Procedure 3009, In re Energy Co-op, Inc., 173 B.R. 363, 372 (N.D. Ill. 1994) and In re Quid Me Broadcasting, Inc., 181 B.R. 715, 717-720 (Bankr. W.D.N.Y. 1995); (2) thus, the Stipulation would immediately allow Landlord Creditor to set off Debtor's security deposit against its reduced postpetition administrative expense claim and its prepetition general unsecured claim, and it is unclear whether or not this is permitted under the setoff provisions of 11 U.S.C.§ 553 because the claims are not mutual since the setoff of Debtor's prepetition security deposit is against both postpetition and prepetition claims of Landlord Creditor, In re Watson, 78 B.R. 267, 273 (Bankr. C.D. Cal. 1987) ("To be eligible for setoff [under 11 U.S.C. § 553], both the mutual claim of the creditor and the debt of the debtor must have arisen prior to the commencement of the case."), quoting, 4 Collier on Bankruptcy, ¶ 553.

In re Brown, No. 18-10617 (JLG), 2020 WL 3264057, at *6 (Bankr. S.D.N.Y. June 10, 2020) (citing In re Quid Me Broad., Inc., 181 B.R. 715, 717-20 (Bankr. W.D.N.Y. 1995) (agreeing that since the chapter 7 trustee is constrained under § 726(a) to make a pro-rata distribution to creditors holding similar claims "he must be afforded the luxury of waiting until case closing and final distribution to make certain that there are sufficient funds to cover all expenses of administration" and finding that the chapter 7 trustee was under no duty, absent a court order, to remit IRS administrative expense taxes before such final administration of the estate); see also In re GPLA, Inc., No. 2:16-bk-13416-RK, 2016 WL 4440376, at *1 (Bankr. C.D. Cal. Aug. 22, 2016) (observing that "distributions to creditors in a Chapter 7 bankruptcy case generally coincides with filing of trustee's final account, but the court has discretionary power to authorize interim distributions upon assurance of sufficient remaining funds to pay all administrative expense claims") (citations omitted).

As a general rule, chapter 7 trustees make no distributions to creditors until they have liquidated the estate assets and filed a final account. See In re Quid Me Broad., Inc., 181 B.R. 715, 717-20 (Bankr. W.D.N.Y. 1995) (agreeing that since the chapter 7 trustee is constrained under § 726(a) to make a pro-rata distribution to creditors holding similar claims "he must be afforded the luxury of waiting until case closing and final distribution to make certain that there are sufficient funds to cover all expenses of administration" and finding that the chapter 7 trustee was under no duty, absent a court order, to remit IRS administrative expense taxes before such final administration of the estate); see also In re GPLA, Inc., No. 2:16-bk-13416-RK, 2016 WL 4440376, at *1 (Bankr. C.D. Cal. Aug. 22, 2016) (observing that "distributions to creditors in a Chapter 7 bankruptcy case generally coincides with filing of trustee's final account, but the court has power to authorize interim distributions upon assurance of sufficient remaining funds to pay all administrative expense claims" (citations omitted)).