In 2004, this court (Derby, J) entered an order finding dischargeable collection fees and costs awarded by the state court on an otherwise nondischargeable debt owed to the State of Maryland. The State of Maryland appealed the decision and the United States District Court for the District of Maryland affirmed the bankruptcy court decision. The State of Maryland then filed an appeal with the United States Court of Appeals for the Fourth Circuit which reversed the lower courts’ decisions. Upon remand, the Bankruptcy Court, Duncan W. Keir, Chief J., vacated the prior order and ordered that all of the debt is nondischargeable , as required by the Court of Appeals’ unpublished opinion.
Judge Keir noted that the bankruptcy court has exclusive jurisdiction over nondischargeability actions set forth in 11 U.S.C. § 523(c) and concurrent jurisdiction as to the remaining subparts of 11 U.S.C. § 523(a). The court further noted the distinction between an action to determine dischargeability and one seeking to enforce the discharge injunction, the latter falling under the bankruptcy court’s exclusive jurisdiction regardless of the nature of the debt