Tenderize and flatten chicken between 2 pieces of plastic wrap. Combine beaten egg and milk. Dip chicken into egg-milk mixture, and then into bread crumbs coating each side. Fry coated chicken in just enough oil approximately 4 minutes on each side or until golden brown.
Place fried pieces in a rectangular baking pan. Pour spaghetti sauce over chicken and cover pan with foil. Bake 50 minutes. Uncover and sprinkle with cheese. Bake uncovered 10 more minutes.