One reason that a judge can deny or revoke a bankruptcy discharge is that the debtor lied about certain information in the bankruptcy process. However, does that apply even if the information that was lied about turned out to be irrelevant? For example:
During Josh’s bankruptcy proceeding, he was asked whether he had ever been sued. Josh responded that he had not. In fact, Josh had once been sued for intentional infliction of emotional distress after a rather embarrassing incident that Josh would rather not discuss. Therefore, he lied about never having been sued. It turns out that the referenced suit had been settled early in the case and the whole incident was many years ago and has no financial impact whatsoever on Josh today. Josh’s debts were discharged in bankruptcy after the proceeding.
What if the creditors of the bankruptcy or the trustee want the discharge to be revoked because of Josh’s lie?
Should the judge revoke the discharge because of the lie even though it would not have had any impact on the case?
Review and cite the following case and find relevant citations in the U.S. Bankruptcy Code to support your argument.
Dale Alleman v. Brett J. Kitson, 341 Fed. Appx. 234 (7th Cir. 2009)
A full IRAC essay is appropriate for this assignment but is not necessary. You can answer probably construct a good answer in three to five well-organized paragraphs.