Title In re Wilbert and Christine Freeland
Judge
James F. Schneider
Entered
Case Number
05-36349
Summary

This opinion stands for the following propositions: (1) that certain debts that arose as a result of undue influence are nondischargeable pursuant to Section 523(a)(2)(A) of the Bankruptcy Code, where the plaintiff proved by a preponderance of the evidence that the defendants obtained property of the creditor by exerting undue influence accompanied by fraud; and (2) that in an adversary proceeding brought in the bankruptcy court to determine the nondischargeability of a debt, where no prior judgment had been awarded in a nonbankruptcy forum, the bankruptcy court may liquidate the damages, enter a nondischargeable judgment, and may also, where appropriate, award punitive damages as part of the nondischargeable judgment, where the plaintiff also proved actual malice in the commission of fraud by clear and convincing evidence.

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