Can a debt incurred by fraud be challnged in BK court

[Da Swami]

california

Can a debt incurred by fraud be challenged by way of adversary complaint if the contract was 100% legal under state law but is for a medical marijuana collective?

The debtor defrauded me out of money to start a collective and kept my money and is now attermpting to write off the judgment I got in superior court in BK.

can I challenge this even though marijuana is illegal under federal law?

 

[latigo]

Is there any language in the court’s written findings or in the judgment itself that reflects that it was issued to reimburse you for money, or services that was obtained by false pretenses, a false representation or actual fraud?

If not, and all you are holding is a judgment that simply awards you a stated amount of dollars, I don’t think that you have a case under Section 325(a)(2) of the Bankruptcy Code to present to the bankruptcy court in seeking to have the judgement declared exempt from discharge.

Now I could be wrong and someone more knowledgeable might direct me to case law showing that I’m wrong. But it just occurs to me that the bankruptcy court would not allow you to go beyond the wording in the judgment which represents your proof of claim.

And frankly I hope that my take on it is wrong. Because an attorney with whom I was associated in a blatant case of real estate broker fraud settled the case without my knowledge ending up with a bare money judgment. Which I know the broker will eventually try to rinse in bankruptcy.