From the Editor – Discharge

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By The Honorable William Houston Brown (Retired)

False pretense in settlement justified § 523(a)(2) exception. Prebankruptcy litigation resulted in a settlement agreement between the debtor and the father of her deceased husband, involving an extensive model train collection, but the debtor failed to comply with the agreement or state court orders to turn over parts of the train collection. As a result, a monetary judgment was entered against the debtor, as well as monetary sanction for willful contempt of the state court orders. The BAP affirmed a finding that the debtor entered into the settlement . . .

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