This is a copy of the Judgment by Court After Default, signed by the Hon. Susan Bryant-Deason in the case of Global Linen Exports, GmbH vs. Texvision, Inc., et al., Los Angeles Supeior Court, Case no. BC 355309. The court awarded a total judgment of $173,995.24, which included $60,000 in punitive damages for Fraud.
Notably, a judgment based on fraud is not dischargeable in bankruptcy. 11 U.S.C. 523(a). Under California law, a default judgment is considered "actually litigated" for the purposes of invoking collateral estoppel principles if the judgment debtor files for bankruptcy. Younie v. Gonya (In re Younie), 211 B.R. 367, 375 (B.A.P. 9th Cir. 1997). Under the Rooker-Feldman doctrine and res judicata principle, bankruptcy courts will honor a state court's judgment of fraud as not being dischargeable.
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