Bankruptcy Fraud Willful and malicious injury.

Byline: Mass. Lawyers Weekly Staff

Where a plaintiff has requested a determination that any debt owed to him by the debtor is nondischargeable, that request should be denied because the plaintiff (1) did not meet his burden to demonstrate that the debtor intended to injure him, convert his funds, fraudulently induce him, or defraud him, and (2) also did not meet his burden to demonstrate that he actually relied or justifiably relied on any representations.

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"Before me is the amended complaint [Dkt. No. 57] (the 'Amended Complaint') of the plaintiff, Matthew White ('White' or the 'Plaintiff'), brought against the debtor-defendant, Bradley Davidson ('Davidson' or the 'Debtor'). White seeks a determination that any debt owed to him by Davidson is nondischargeable under three subsections of 11 U.S.C. 523(a) in his Amended Complaint: Count I is for a debt obtained by alleged misrepresentations or fraud under 523(a)(2), Count II is for a debt for fraud or defalcation while acting as a fiduciary under 523(a)(4), and Count III is for a debt for willful and malicious injury under 523(a)(6). I granted a construed motion for judgment on partial findings as to Count II after the Plaintiff rested.

"... For the reasons I will explain, I find that White has not met his burden of proof as to either of the remaining counts, and I will enter judgment in favor of Davidson. I will also deny Davidson's request for sanctions.

"White and Davidson's business relationship began in 2013. White is a singer, songwriter, and recording artist, who had attained some recognition for his songs 'Love' and 'Best Days.' His music had been used in at least one commercial and multiple television programs prior to the commencement of the parties' relationship. Davidson has been an active member of the music industry since 1998, and had extensive experience at major labels promoting artists and their music by the time the parties contemplated working together. He had achieved success in what he characterized as 'breaking' several new artists and songs.

"Think Say Music, LLC ('ThinkSay') was a small, independent record company that had signed and released music from several artists, and Davidson was one of its three principals and managers, the other two being Barry Byrd and, later, Daniel Pearson.

"In...