Tabb Discusses Discharging Fraudulent Debts Not in Writing
April 12, 2018
Bloomberg Big Law Business
Of Counsel Charles Tabb was quoted in a Bloomberg Big Law Business article, “Justices Weigh Bankruptcy Fallout of Unkept Pledge to Pay Lawyers,” about the 11th U.S. Court of Appeals’ decision in Lamar, Archer & Cofrin, LLP v. Appling, about the dischargeability of a debt incurred by false statements “respecting,” or reflecting, their financial condition.
Tabb said that justices can rely on a “plain meaning reading of ‘respecting’ and conclude that even a statement about less than the debtor’s overall financial condition is still ‘respecting’ that condition.”
Tabb also said that the U.S. government – the largest creditor in the case – affirming the decision is “telling,” adding that the court in recent years has shown a “strong disinclination to interpret the Bankruptcy Code in a way that could favor dishonest debtors,” and Appling is “most definitely not a sympathetic ‘honest but unfortunate’ debtor.”
Tabb said that justices can rely on a “plain meaning reading of ‘respecting’ and conclude that even a statement about less than the debtor’s overall financial condition is still ‘respecting’ that condition.”
Tabb also said that the U.S. government – the largest creditor in the case – affirming the decision is “telling,” adding that the court in recent years has shown a “strong disinclination to interpret the Bankruptcy Code in a way that could favor dishonest debtors,” and Appling is “most definitely not a sympathetic ‘honest but unfortunate’ debtor.”
Related News
July 24, 2025
In the News
Foley's Trial Team Featured Following Landmark Victory in Texas Trade Secret Case
Foley & Lardner LLP’s recent landmark appellate victory in a Texas trade secrets case is featured in the Texas Lawyer article, "Ruling Sets Precedent for Employment, Trade Secrets, Fiduciary Duty."
July 24, 2025
In the News
Gregory Husisian and David Simon on Tariff Evasion – 'Huge money at stake'
Foley & Lardner LLP partners Gregory Husisian and David Simon detailed the rise and risks of tariff evasion in the POLITICO article, "As Trump raises tariffs, companies find ways to cheat — and risk getting caught."
July 23, 2025
In the News
Aaron Maguregui on AI Scribes in Health Care – 'Technically, it's a third party listening'
Foley & Lardner LLP partner Aaron Maguregui shared insights on the growing applications for artificial intelligence across health care in the healthleaders article, “Is Your AI Scribe HIPAA-Compliant?“