Q: My husband stole some money from his employer. The case was expunged after months of community service. Then the
Employer & his insurance companies sued in civil court for the stolen amounts plus legal fees and were awarded a summary judgement. He is now facing bankruptcy due to this summary judgement debt. I have learned debts that were achieved as a result of theft are generally not dischargeable - (11 USC Section 523) HOWEVER if the case was expunged, then shouldn’t the expungement act as a barrier? Since there is no actual criminal misconduct attached, then section 523 will not apply???
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