Merritt v. Layne (In re Layne)

(Bankr. E.D. Ky. Sep. 22, 2014)

The bankruptcy court denies the plaintiff’s motion for default judgment in this nondischargeability action. The debtor failed to timely respond to the complaint and was thus in default. However, the court determines that the affirmative evidence presented by the plaintiff to establish his claim was insufficient, and thus the claim is dismissed. The plaintiff established only that the debtor had made a promise to repay a loan and then failed to do so, which does not warrant a nondischargeability judgment. The court also declines to allow the plaintiff another evidentiary hearing to establish the claim. Opinion below.

2014-09-22 – merrit v layne

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