In re Emery - Second Circuit U.S. Court Of Appeals

In re Emery

By Second Circuit U.S. Court Of Appeals

  • Release Date: 1998-01-05
  • Genre: Law
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In re Emery Second Circuit U.S. Court Of Appeals Book Review Score: ★★★★★ 5/5 stars

Defendant Claude Emery appeals from an order of the United States District Court for the Eastern District of New York, Joanna Seybert, J., which reversed the holding of the bankruptcy court, Marvin A. Holland, J., that plaintiff-appellee Citibank, N.A. (Citibank) had failed to state a claim (based upon Emerys alleged fraud) for revocation of Emerys bankruptcy discharge. Citibank had obtained knowledge of the alleged fraud in the period after the bar date for creditors objections to discharge, but prior to the actual grant of discharge. The principal basis of the bankruptcy courts decision was 11 U.S.C. § 727(d), which precludes a creditor from seeking revocation of a discharge if it had knowledge of the fraud before the discharge. The district court reversed, finding that § 727(d) did not bar Citibanks request for revocation under the circumstances of the case. For the reasons stated below, we affirm.

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