Criminal Restitution Payable to Private Individual is Non-Dischargeable
In Troff v. Utah, the Tenth Circuit Court of Appeals held that -- despite the express language in Bankruptcy Code Section 523(a)(7) -- a Chapter 7 bankruptcy debtor cannot discharge a restitution obligation imposed as part of a state criminal sentence that is payable to a private individual. 2007 U.S. App. LEXIS 5953 (2007).
Labels: Chapter 7, criminal restitution, dischargeable debt