Judgment Against Debtor Is Nondischargeable; Debt Was Result Of Defalcation

Mealey's (August 6, 2018, 10:40 AM EDT) -- ST. LOUIS — The Eighth Circuit U.S. Court of Appeals on Aug. 3 affirmed a bankruptcy appellate panel’s finding that a judgment against debtor arising out of the debtor’s failure to pay a company’s health insurance premiums is nondischargeable because the debt was the result of defalcation while the debtor was acting in a fiduciary capacity (In re:  Michael P. Harris, as surety for Faribault Mills Inc., as surety for Faribault Woolen Mill Co., debtor; U.S. Department of Labor v. Michael P. Harris, No. 17-1261, 8th Cir., 2018 U.S. App. LEXIS 21537)....