Case Conclusion Date:December 28, 2001
Practice Area:Bankruptcy / Chapter 7
Outcome:$200,000 gambling debt bankruptcy discharge, attorneys awarded $160,000 for casinoâ€™s willful stay violation
Description:A debtorâ€™s obligation to repay $200,000 in markers owed to Caesars Palace was not excepted from discharge under Section 523(a)(2)(A). Making matters worse for the casino, the 2nd U.S. Circuit Court of Appeals agreed with the lower courts that the referral of the markers to the bad check collections unit of the Las Vegas District Attorneyâ€™s Office after the debtor filed for bankruptcy was a willful violation of the automatic stay.