672 F. App'x 176
3d Cir.2017Background
- Mauz and William & Kimberly Link were neighboring property owners who engaged in prolonged hostile interactions.
- Over several years Mauz filed 10 state-court complaints against the Links (all dismissed, withdrawn, or resulted in not guilty) and made 30+ complaints to police/municipal offices without charges.
- The Links sued Mauz in York County for intentional infliction of emotional distress; after a bench trial they were awarded $217,000 in damages.
- Mauz filed a Chapter 7 bankruptcy petition and the Links brought an adversary proceeding seeking a determination that the judgment was nondischargeable under 11 U.S.C. § 523(a)(6).
- The Bankruptcy Court held the debt nondischargeable as arising from a willful and malicious injury; the District Court affirmed.
- Mauz appealed to the Third Circuit, which affirmed the District Court’s judgment without re-litigating the factual record.
Issues
| Issue | Plaintiff's Argument (Mauz) | Defendant's Argument (Links) | Held |
|---|---|---|---|
| Whether the state-court judgment arises from a "willful and malicious" injury under 11 U.S.C. § 523(a)(6) | The judgment should be dischargeable; Bankruptcy Court erred in finding willful/malicious conduct | Judgment resulted from Mauz’s purposeful, repeated, and outrageous conduct intended to harm the Links | Affirmed: debt nondischargeable — Mauz acted willfully and maliciously |
Key Cases Cited
- In re Winstar Commc’ns, Inc., 554 F.3d 382 (3d Cir.) (standards for appellate review of bankruptcy decisions)
- In re Michael, 699 F.3d 305 (3d Cir.) (standards for reviewing bankruptcy factual and legal determinations)
- In re Fruehauf Trailer Corp., 444 F.3d 203 (3d Cir.) (standard for overturning factual findings)
- In re Gerhardt, 348 F.3d 89 (5th Cir.) (characterizing dischargeability as a question of law)
- In re Conte, 33 F.3d 303 (3d Cir.) (definition of "willful" under § 523(a)(6))
- In re Braen, 900 F.2d 621 (3d Cir.) (burden of proof for exception to discharge)
