Sometimes, being too aggressive backfires when the defendant files bankruptcy.
The equitable power under Section 105(a) permits extending the discharge objection deadline when the court makes a mistake.
Judge Christopher Klein parses the burdens of proof on conversion, dismissal and right to a discharge for an individual in chapter 11.
Reading Husky narrowly, the Eleventh Circuit requires that fraud occur before a debt arises to make the debt nondischargeable under Section 523(a)(2)(A).
An obligation can be penal in nature, and thus nondischargeable, even though it’s measured by pecuniary loss.