Limiting the Affects of a State Court Judgment

Our litigation attorney, Cort Walker, had a nice win a couple of weeks ago that earned himself a few paragraphs in Lawyer’s Weekly. Here’s a quick summary of the case: 1) Certain kinds of debts (like debt incurred by fraud) can’t be gotten rid of in bankruptcy. 2) Sometimes creditors sue debtors in state court actions and allege all sorts of things (like, “not only did Mr. Doe not fix my deck, but he never intended to fix it when he took my money”). 3) Sometimes when defendants are sued, they don’t do anything and simply let the judgment be entered against them without putting up a fight. 4) Then they file bankruptcy. 5) Is the fact that the plaintiff in the state court action alleged certain fraudulent activity enough to except that debt in bankruptcy without further proof? Judge Humrickhouse said “no.” Good job Cort!