§ 523(a)

Cote v. Catherman (In re Catherman)

Plaintiff creditor filed a complaint to determine the dischargeability of a debt owed by defendant debtor. The creditor brought this suit pursuant to the statutory exception to discharge under 11 U.S.C. § 523(a)(2)(A).
Ruling: 
Creditor failed to establish that debtor intentionally misrepresented the purpose of a loan and thus loan debt was deemed dischargeable.
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Lorenz v. Am. Educ. ServicesPennsylvania Higher Educ. Assistance Agency (In re Lorenz)

Plaintiff debtor filed an adversary proceeding against defendant creditor seeking a determination that the debtor's student loans were dischargeable due to "undue hardship" under 11 U.S.C. § 523(a)(8). These student loans were used to finance the debtor's podiatry school education. Due to changes in the field, the debtor abandoned podiatry and chose instead to pursue a career as a registered nurse. The debtor was unemployed at the time of trial.
Ruling: 
Student loans were deemed dischargeable due to undue hardship for a debtor who faced having to switch careers to increase income.
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Purviance v. Region 1 Self Reliance Program (In re Purviance)

Plaintiff debtor filed a complaint against defendant, an agency of the state of Idaho charged with collecting unpaid child support, seeking an order declaring debts, which arose out of a Canadian child support order in favor of her former husband, dischargeable. The state filed a motion for summary judgment contending that the debt was nondischargeable pursuant to 11 U.S.C. § 523(a)(5), and the debtor filed a cross motion for summary judgment.
Ruling: 
Court granted motion of state agency collector of unpaid child support establishing Canadian child support order as enforceable debt but ruled that material fact remained on whether it was deemed support under the Code.
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Lucas v. Lyle (In re Lyle)

Plaintiff creditors, owners of a residence, brought an adversary proceeding against defendant bankruptcy debtor, a contractor, alleging that a debt to the owners for the contractor's defective work was nondischargeable under 11 U.S.C. § 523(a)(2)(A) based on the contractor's misrepresentation that the contractor was licensed. The bankruptcy court reconsidered the owners'claim upon remand from the district court.
Ruling: 
Debt for unlicensed contractor debtor's damage to a residence from defective work was deemed dischargeable since the debtor did not misrepresent that the debtor was unlicensed.
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