§ 523(a)(2)(B)

Ganz v. Rudko (In re Rudko)

Plaintiff creditor filed an adversary proceeding against defendant debtor seeking a determination that his debt was nondischargeable pursuant to 11 U.S.C. § 523(a)(2)(A) and (B). The underlying debt arose from a breach of a lease.
Ruling: 
Debtor's overestimation of income in lease application was made with intent to deceive landlord and resulted in nondischargeable debt.
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Consumer case opionion summary, case decided on October 23,2007, LexisNexis #1107-114

Huntington Natl Bank v. Cho (In re Cho)

Plaintiff bank claimed it loaned money to defendant debtor to buy a car. Debtor began monthly installments on the loan in March, 2003. The bank alleged it had a claim against debtor in the amount of $19,149.96 and attorney's fees. The bank filed a complaint, alleging its debt was nondischargeable under 11 U.S.C. § 523(a)(2)(A) (count 1) and (a)(2)(B) (count 2). The bank moved for a default judgment for a second time.
Ruling: 
Auto loan was nondischargeable as debtor provided materially false income information in application.
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Green Bay Packaging Inc. v. Oscarson (In re Oscarson)

Chapter 7 debtors filed a motion for a directed verdict in an adversary proceeding brought by creditor, which sought a finding that debtors could not discharge a debt owed to creditor pursuant to 11 U.S.C. § 523(a)(2)(B), and that debtor son's discharge should be denied pursuant to 11 U.S.C. § 727(a)(4).
Ruling: 
Creditor's claims against father and son debtors were dischargeable absent proof that debt resulted from reliance on alleged false financial statements.
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Sunflower Bank N.A. v. Otte (In re Otte)

Adversary plaintiff bank sought to have individual debtor's guaranty obligation be held nondischargeable under 11 U.S.C. § 523(a)(2)(B) for defaulting borrower corporation's loans. The bank claimed that the debtor had fraudulently reported the borrower's inventory. The court previously ruled the debt was not one for fraud or defalcation while acting in a fiduciary capacity that would be excepted from discharge under 11 U.S.C. § 523(a)(4).
Ruling: 
Obligation to bank was not excepted from discharge since bank failed to show an intent to defraud by debtor.
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Robertsons Auto & Truck Inc. v. Novotny (In re Novotny)

A matter to determine dischargeability of a debt pursuant to 11 U.S.C. § 523(a)(2)(B) was before the court for judgment following trial on plaintiff judgment creditor's Complaint to Determine Dischargeability of Debt, and Request for Declaratory Relief. Defendant was the debtor.
Ruling: 
Debt was deemed dischargeable since debtor was not estopped from contesting fraud claim based on state court damages award, and creditor did not establish fraudulent intent.
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I.H. Miss. Valley Credit Union v. Lindquist (In re Lindquist)

Plaintiff creditor brought an adversary proceeding against defendant bankruptcy debtor, alleging that the debtor obtained a loan and a credit card account from the creditor based on materially false statements in credit applications, and thus the debts were not dischargeable under 11 U.S.C. § 523(a)(2)(B). The bankruptcy court conducted a trial.
Ruling: 
Debtor's credit card debt was deemed nondischargeable, but debtor's loan debt was deemed dischargeable since the creditor relied on the debtor's standing as a good customer rather than on any misstatements.
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