DeBenedictis v. Brady-Zell

Citation:
1st Cir. BAP # M13-019
Tag(s):
Ruling:
Bankruptcy court's judgment dismissing a complaint to determine dischargeability affirmed.
Procedural context:
This was an appeal from a decision rendered after trial in an action to determine whether a debt was non-dischargeable due to false pretenses, false representation or actual fraud.
Facts:
The debtor retained the creditor to represent her in a divorce case. The divorce had novel issues, including immigration issues, and ultimately the total bill came to slightly more than $87,000. The debtor's husband had been ordered by the divorce court to provide a $25,000 retainer. In defending against the non-dischargeability complaint, the debtor contended that she thought the $25,000 retainer was a flat fee. The bankruptcy court found the debtor not to be credible, on the whole, but recognized that the burden was on the creditor to prove the elements of non-dischargeability. The creditor was unable to meet her burden, so the bankruptcy court dismissed the complaint with prejudice, finding the debt to be dischargeable.
Judge(s):
BAP judges Lamoutte (author), Haines and Deasy. Trial judge Bailey.

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