Bartenwerfer v. Buckley
View Official PDFSummary
A short, plain-English overview of Bartenwerfer v. Buckley.
In Bartenwerfer v. Buckley, the Supreme Court addressed whether a debt obtained by fraud can be discharged in bankruptcy if the debtor was not personally culpable. Kate Bartenwerfer argued that she should not be liable for her partner's fraud as she was unaware of it. The Court ruled that under 11 U.S.C. § 523(a)(2)(A), a debtor cannot discharge a debt obtained by fraud, regardless of personal culpability.
Holding
The single most important “bottom line” of what the Court decided in Bartenwerfer v. Buckley.
The Court held that Section 523(a)(2)(A) precludes Kate Bartenwerfer from discharging in bankruptcy a debt obtained by fraud, regardless of her own culpability.
Key Quotes
Short excerpts from the syllabus in Bartenwerfer v. Buckley that support the summary and concepts above.
Congress framed § 523(a)(2)(A) to 'focu[s] on an event that occurs without respect to a specifc actor.'
The passive voice in § 523(a)(2)(A) does not hide the relevant actor in plain sight.
The Bankruptcy Code is not focused on the unadulterated pursuit of the debtor's interest.
