United States Ninth Circuit

In a bankruptcy case in which debtor had embezzled and subsequently repaid funds from his employer, and employer had later been required to return those funds to the bankruptcy estate, dismissal of employer's complaint alleging that it had a nondischargeable claim against debtor is reversed where a creditor that is required to return to the trustee a payment from the debtor made within the ninety-day preference period still maintains a claim against the debtor for a nondischargeable claim.

Appellate Information

• Argued 05/16/2008
• Decided 11/17/2008
• Published 11/17/2008

Judges

• HUG, Circuit Judge:, Before:  PROCTER HUG, JR. and N. RANDY SMITH, Circuit Judges, and RICHARD MILLS, District Judge.

Court

• United States Ninth Circuit

Counsel

• For Appellant:
  
• Scott M. Reddie & Todd W. Baxter, McCormick, Barstow, Sheppard, Wayte & Carruth LLP, Fresno, CA, for the appellant.


• For Appellees:
  
• Kristine M. Kelly, Fresno, CA, for the appellee.