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middle district of north carolina

Randle v. Highfill (In re Highfill)

Ruling
Portion of debt owed to spouse was deemed nondischargeable since the debtor could pay about half of the debt and the debtor's continued use of an equity line of creditor for which the spouse was still obligated demonstrated bad faith.
Procedural posture

Plaintiff creditor, the spouse of defendant bankruptcy debtor, brought an adversary proceeding seeking nondischargeability of marital debts the debtor agreed to pay in the parties'separation agreement, pursuant to 11 U.S.C. § 523(a)(5) and (15). The bankruptcy court conducted a trial.

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opinion summary, case decided on January 23, 2006 , LexisNexis #0206-041

Thompson v. Brookshire (In re Brookshire)

Ruling
Damages award from a breach of fiduciary duty and conversion action was deemed nondischargeable since the state court's finding that the debtor had harmed the decedent financially and physically supported a finding that the debtor had acted willfully and maliciously.
Procedural posture

Plaintiffs, an administrator and a son, filed a motion for summary judgment in their adversary proceeding alleging that a state court judgment against defendant debtor for compensatory and punitive damages resulting from a breach of fiduciary duty and conversion was nondischargeable, pursuant to 11 U.S.C. § 523(a)(6).

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opinion summary, case decided on January 10, 2006 , LexisNexis #0206-038

In re Havner

Ruling
Debtor was denied a motion to extend the automatic stay of a chapter 13 case since, under the totality of the circumstances, the debtor failed to show the second filing was made in good faith.
Procedural posture

Debtor filed a motion to extend the automatic stay of his chapter 13 bankruptcy petition.

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opinion summary, case decided on January 04, 2006 , LexisNexis #0306-006

In re Medley

Ruling
Bankruptcy petition preparer who acted as more than a scrivener engaged in the unauthorized practice of law and thus committed a deceptive practice under the Code.
Procedural posture

Pro se bankruptcy debtors contacted a petition preparer's website and subsequently agreed to pay the preparer to complete their bankruptcy petition and accompanying schedules and forms. The bankruptcy trustee obtained an order to show cause to determine whether the preparer engaged in the unauthorized practice of law, and the preparer did not appear at the show cause hearing.

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opinion summary, case decided on November 10, 2005 , LexisNexis #0106-006

Mosko v. Am. Educ. Serv. (In re Mosko)

Ruling
One debtor had student loan debt deemed dischargeable due to undue hardship while other debtor received only partial discharge.
Procedural posture

Plaintiff debtors brought an adversary complaint to determine the dischargeability of their student loan debts pursuant to 11 U.S.C. § 523(a)(8). Defendant, the successor to the lender, opposed dischargeability.

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opinion summary, case decided on September 29, 2005 , LexisNexis #0106-056