Discharge - Purchasers could not justifiably rely on any misrepresentations by debtor, as non-owner/non-seller. Even assuming that judgment creditors could establish some misrepresentation or fraudulent nondisclosure by a Chapter 7 debtor in connection with their purchase of residential property from the debtor's mother, the creditors could not justifiably rely on any such misrepresentation or nondisclosure, and could not prevail on a complaint to except the judgment debt from discharge in the debtor's Chapter 7 case under 11 U.S.C.A. 523(a)(2)(A). The judgment creditors knew at the time of their purchase that the debtor was not the owner or seller of the property, but was merely present on the premises pursuant to a lease agreement with his mother.
Saturday, December 8, 2007
In re Wilken
Posted by Rachel Lynn Foley at 8:43 PM
Labels: 523(a)(2)(A), Chapter 7
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