Title In re Paul and Capri McClendon. Gulati v. McClendo
Judge
James F. Schneider
Entered
Case Number
08-17058
Summary

Creditor filed complaint to determine State court judgment nondischargeable for fraud under 11 U.S.C. §§ 523(a)(2). State court judgment was entered after debtors filed one page pro se answer but did not appear for trial. Held, collateral estoppel did not apply to render State court judgment nondischargeable under 523(a)(2)(A) because it was not based on the debtor’s intent not to perform a contract; further, collateral estoppel did not apply to render State court judgment nondischargeable under 523(a)(2)(B) because it was not based upon a written misrepresentation of financial ability.

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