United States Bankruptcy Court for the Northern District of Texas
351 B.R. 409 (2006)
Baker (plaintiff) made various loans totaling $150,000 to Sharpe. At the time of the loans, Baker thought Sharpe was wealthy based on his appearance, spending habits, and extravagant lifestyle. Beyond presenting an appearance of wealth, Sharpe also told Baker that he could repay her loans with assets he was hiding from his former wife. Testimony indicated that Sharpe had been preparing to file bankruptcy for several months at the time of the loans. Sharpe eventually did file for bankruptcy. Baker filed a brief requesting that Sharpe’s debt to her be found nondischargeable, based on his false representations and fraud under 11 U.S.C. § 523 (a)(2)(A).
Rule of Law
Holding and Reasoning (Jernigan, J.)
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