“Every penny in the couch”

December 30, 2011

  • 51 Bankruptcy
  • 51X Discharge
  • 51X(C) Debts and Liabilities Discharged
  • 51X(C)3 Educational Loans
  • 51k3371 Hardship
  • 51k3371(1) k. In General.

51 BankruptcyIn order to satisfy the third, or “good faith,” prong of Brunner test for obtaining “undue hardship” discharge of student loan debt, debtor need not prove that he has searched for every penny in the couch and handed it over to student loan creditor; debtor is required to prove by preponderance of the evidence only that he has made good faith efforts to repay his loans.
In re Marcotte, 455 B.R. 460 (Bankr. D.S.C. 2011)
Suggested by Barbara Bozonie, Principal Attorney Editor, Westlaw