Crane
Crane v. Neary
Opinion
Lead Opinion
MEMORANDUM **
The bankruptcy court did not clearly err by finding that debtor Peter Crane intentionally failed to disclose his claim against his former law firm. The court had the opportunity to observe the witnesses and did not credit Crane’s testimony that he was unaware that certain assets needed to be listed in his bankruptcy schedules. See Allen v. Iranon, 283 F.3d 1070 , 1078 n. 8 (9th Cir.2002) (credibility findings entitled to special deference). To the contrary, the bankruptcy court found that Crane, an attorney, was sophisticated and knew of both the existence of the claim and its purported value at the time he filed for bankruptcy. Moreover, Crane’s bankruptcy attorney did not testify to corroborate his advice of counsel defense, and the trial revealed a number of other omissions and misstatements in the schedules. In light of all the evidence before it, it was not clear error for the bankruptcy court to find an intentional omission, made with the intent to deceive. See United States v. Working, 224 F.3d 1093, 1102 (9th Cir. 2000).
*9 Nor did the bankruptcy court clearly err by finding that Crane intentionally faded to disclose rental income from his sublessee. The…