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Nancy Lee McCaslin v. Gary R. Halbert (In re Halbert)

Bankr. No.: 
99-10196
Adv. No.: 
99-1020
Chapter: 
7
Date of Decision: 
March 17, 2000
Issue: 
Whether a default judgment entered by a Texas state court in a defamation suit collateral estopped Debtor from trying the non dischargeability of the debt under § 523(a)(6)?
Ruling: 
Under Texas law, collateral estoppel did not arise from the default judgment, especially where Debtor had not been given any opportunity to participate in a hearing determining the damages. Further, the default judgment did not clearly determine whether Debtor's actions were willful and malicious as those terms are used in § 523(a)(6) and interpreted by applicable case law.
Full Bankruptcy Court Decision: