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Clear Sky Props. LLC v. Roussel (In re Roussel)

Clear Sky Props. LLC v. Roussel (In re Roussel)

Ruling
State court judgment for breach of fiduciary duty was dischargeable due to different state standard, except to the extent for defalcation regarding property.
Procedural posture

Creditors initiated an adversary proceeding to determine the dischargeability of debtor's obligation to creditors that was evidenced by a state court judgment of approximately $446,000. The creditors argued that the judgment debt, along with an attorneys' fees award, should be declared nondischargeable pursuant to 11 U.S.C.S. § 523(a)(4) and § 523(a)(6).

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Consumer opinion summary, case decided on December 03, 2012 , LexisNexis #1212-120