Cowin v. Countrywide Home Loans, Inc.

by
The Fifth Circuit affirmed the bankruptcy courts' findings that debtor was involved in a scheme designed to deprive mortgage holders of foreclosure sale proceeds, and that the damages flowing from this scheme were nondischargeable debts pursuant to 11 U.S.C. 523(a)(4) and 523(a)(6). The court held that debtor's debts to the Countrywide Plaintiffs (and Bank of America) "arise" from larceny and were nondischargeable in bankruptcy. The court also held that debtor failed to demonstrate that he was prejudiced by the bankruptcy court entering the Countrywide Adversary Judgment without lifting the automatic stay in his Chapter 7 case. View "Cowin v. Countrywide Home Loans, Inc." on Justia Law