Rudolph J. DiMassa Jr. and Keri L. Costello of Duane Morris. 10th Circ. BAP Joins Majority in Finding Section 523(a)(6) Requires Injury to Be Willful and Malicious
In In re Smith, the U.S. Bankruptcy Appellate Panel for the U.S. Court of Appeals for the Tenth Circuit recently joined the majority of circuit courts of appeals in finding that a creditor seeking a judgment of nondischargeability must demonstrate that the injury caused by the prepetition debtor was both willful and malicious under Section 523(a)(6) of the Bankruptcy Code.
October 01, 2020 at 10:38 AM
10 minute read
In In re Smith, (B.A.P. 10th Cir., Aug. 18, 2020), the U.S. Bankruptcy Appellate Panel for the U.S. Court of Appeals for the Tenth Circuit recently joined the majority of circuit courts of appeals in finding that a creditor seeking a judgment of nondischargeability must demonstrate that the injury caused by the prepetition debtor was both willful and malicious under Section 523(a)(6) of the Bankruptcy Code.
Factual Background
Michael Smith, an attorney, worked for 22 years for Equity Title Insurance Company (Equity Title) and served as Equity Title's chief operating officer and general counsel. In 2008, First American Title Co. and an affiliate (First American), a competitor of Equity Title, acquired a majority interest in Equity Title and changed Smith's title to "State Underwriting and Legal Counsel." In 2012, First American and Equity Title officially completed their merger.
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