Discharge/Dischargeability

Circuits Possibly Split on Bankruptcy as Discharging Coal Act Liability for Health Benefits

Over a dissent, the Eleventh Circuit held that a 1995 chapter 11 plan discharged the liability of ‘related persons’ to pay health care benefits when a coal producer defaulted on the obligation in 2016.
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Cert Granted to Decide: Is a Principal’s Liability for an Agent’s Fraud Nondischargeable?

The circuits are split on whether an innocent debtor’s liability is automatically nondischargeable when an agent or partner committed fraud.

Judge Brown Finds a Loophole Where Debtors Get Discharges Despite Nondisclosure

Had Congress considered the facts that were before Bankruptcy Judge Elizabeth Brown, it surely would have written the statute differently, this writer believes.

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