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Service Steel Warehouse Co. LP v. Kannard (In re Kannard)

Service Steel Warehouse Co. LP v. Kannard (In re Kannard)

Ruling
Debts to suppliers were dischargeable where debtor contractor was not a fiduciary and did not willfully breach a duty to creditors.
Procedural posture

Plaintiff supplier of materials for a construction project, and intervenor supplier of labor, prosecuted an adversary proceeding against defendant bankruptcy debtor, the sole owner of the contractor for the project, seeking a determination that amounts owing to the suppliers were not dischargeable debts under 11 U.S.C.S. § 523(a)(4) based on fiduciary fraud.

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Commercial opinion summary, case decided on February 22, 2008 , LexisNexis #0308-117