Fritz is seriously considering bankruptcy, because he has a large number of outstanding debts, the principal ones of which are as follows: (1) he owes his ex-wife $25,000 in back alimony and child support; (2) he owes $20,000 in guaranteed student

loans; (3) he has a lawsuit pending against him in which his ex-girlfriend is asking for $50,000 in damages (the suit is based upon the intentional tort of battery and arises from an incident in which Fritz got mad at his girlfriend and hit her); and (4) he owes the First Bank $20,000 for a loan secured by his new sports car. Should Fritz file for bankruptcy?


Unless Fritz has other large debts, he should not file for bankruptcy, because it would probably not benefit him in any way. The alimony and child support, student loans, and damages for willful and malicious injuries to another are all non-dischargeable debts under the Bankruptcy Code. Furthermore, the car secures the money he owes to the bank, so that the bank will likely get its money by repossessing the car and reselling it.

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