The Bankruptcy Appellate Panel affirmed a bankruptcy court judgment. The court held that where state court judgments were entered against a debtor as terminating sanctions for noncompliance with discovery, those judgments were properly deemed not to be subject to bona fide dispute in a subsequent involuntary bankruptcy proceeding.
Beginning with a threatening email sent in August 2006 to his accountant and five other employees, fashion mogul George Marciano allegedly undertook a campaign to “ruin” those employees. His actions included allegations of criminal wrongdoing by the employees. Marciano sued the employees and they filed cross-claims for libel, defamation, and the intentional infliction of emotional distress.
