Lassiter v. Moser

Summarized by Dean Langdon , DelCotto Law Group PLLC
15 years 3 months ago

Citation:

(6th Circuit, Dec 31,1969)

Tag(s):

6th Circuit

Ruling:

The Bankruptcy Appellate Panel holds the bankruptcy court for the Southern District of Ohio did not err in finding University of Cincinnati law professor Christo Lassiter in contempt for violating the discharge injunction, nor abuse its discretion in awarding sanctions and damages against Lassiter.

Procedural context:

Appeal from final judgment of bankruptcy court finding Lassiter in contempt for violating the discharge injunction of 11 U.S.C. Section 524(a)(2) and awarding damages. The precedential effect of the ruling is limited to the specific case and parties under applicable 6th Circuit BAP rules.

Facts:

Joseph Moser and Devon Grove-Merritt (now Dullaghan) were once married. Mr. Moser served in the Navy and Ms. Dullaghan was in law school. Moser filed a complaint with the Board of Correction of Naval Records (BCNR) with assistance from his then-wife. Dullaghan persuaded her law professor, Christo Lassiter to assist Moser, which he did until the BCNR issued an unfavorable ruling in April, 2004. In the interim, Lassiter and Dullaghan engaged in a romantic relationship. After graduating from law school, Dullaghan engaged in the part-time practice of law with Moser as her paralegal. Dullaghan represented Lassiter in a personal injury case. Moser and Dullaghan separated in February, 2004. In May, 2004 Lassiter wrote Moser to advise him that Dullaghan wanted a divorce and offered to draft a separation agreement. Moser and Dullaghan were ultimately divorced in September, 2005. In the interim, Moser contacted the University of Cincinnati College of Law and the disciplinary arm of the Ohio Supreme Court in an apparent attempt to have Lassiter disbarred and/or dismissed from his position at the law school. In return Lassiter and Dullaghan filed suit against Moser alleging conversion, invasion of privacy, breach of fiduciary duty and theft and seeking to enjoin Moser from future use of documents he obtained from Lassiter's legal file with Dullaghan. Moser sought Chapter 7 relief in August, 2005, naming Lassiter as a creditor. Moser received a discharge in January, 2006. In January, 2007 Lassiter filed a second lawsuit against Moser reiterating the claims in the first lawsuit, but it was dismissed for improper service in December, 2008. In March, 2007 Dullaghan sought Chapter 7 relief. Lassiter filed an adversary against Dullaghan under 11 U.S.C. Section 523(a)(6) alleging intentional harm to real property which he owned but which had been occupied by Dullaghan and her children. The bankruptcy court found the debt dischargeable, and Dullaghan received her discharge in September, 2008. Less than three weeks after Lassiter's 2007 lawsuit was dismissed, he filed a third lawsuit (the "2008 Lawsuit") seeking redress for the misuse of information in his legal file with Dullaghan and naming both Moser and Dullaghan as defendants. Moser and Dullaghan filed a motion to dismiss the 2008 lawsuit which was granted without prejudice in June, 2009 on the basis that Lassiter did not obtain relief from the automatic stay prior to filing the suit. In the meantime, Moser and Dullaghan filed motions in their respective bankruptcy cases seeking to hold Lassiter in contempt for violating the discharge injunction and requesting damages. After mediation failed, the bankruptcy court held a hearing in September, 2009 and issued a ruling in October, 2009 finding that Lassiter violated the discharge injunction by filing both the 2007 and 2008 lawsuits. The court awarded Moser $4,950 in attorney fees, $100 for travel, parking and postage, and $87.50 for copies. The court awarded Dullaghan $116 for copies, $72.72 for travel, $9 for parking and $32 for postage. The court did not agree with Lassiter's position that the 2008 Lawsuit sought damages only for post-petition misuse of his legal file since it included the factual allegations relating to the pre-petition actions of Moser and Dullaghan and sought damages for same.

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