December 11, 2017

Background:

  • Couple divorced after two years of “contentious” litigation.
  • Ex-wife filed for Chapter 7
  • Ex-husband filed an adversary proceeding stating that she was not entitled to a discharge.
  • He claimed she had made false statements about her assets and liabilities. (Undervalued her engagement ring, failed to disclose $1,000.00 per month in income, and other non-disclosures)
  • All debts ex-wife owed were to be paid totally to her ex outside of bankruptcy as they were non-dischargeable.

Court Ruling:

  • Ex-husband had no standing since all debts owed to him were being paid in full.
  • Ex-husband was not a creditor in the bankruptcy.
  • A basic generalized grievance is not acceptable.
  • He did not suffer a concrete and particularized injury – No Standing.
  • Adversary proceeding was dismissed.

Just because you do not like someone – you cannot be spiteful in their bankruptcy proceeding if you have no standing.