In re Azevedo

A debtor seeking contempt for a discharge violation must prove that the creditor knew the discharge was applicable. Jose Azevedo owed Central Valley Dairymen, Inc. (“CVD”) money, filed bankruptcy under an alias but failed to give CVD notice. Unaware of the bankruptcy, CVD garnished Azevedo’s wages. Azevedo pro *280 tested, but refused to confirm his identity and at trial did not prove that the discharge applied to CVD’s claim. Should CVD be held in contempt?

FACTS

Jose Azevedo (“Azevedo”) emigrated from the Azores to the United States at a young age. He speaks only Portugese and has a fourth-grade education.

From 1992 to 2008, together with Frank Silva, Azevedo did business under the name Azevedo & Silva Dairy. From 1992 to 2003, both Azevedo and Azevedo & Silva Dairy were members of Central Valley Dairymen, Inc. (“CVD”), a non-profit agricultural cooperative association, which dealt in milk and milk products. CVD knew Azevedo by the name “Joe Azevedo” or by his trade name, Azevedo & Silva Dairy.

Azevedo and others members of CVD brought suit in Merced County, California, against CVD and others (the “Merced County action”). See Nunes v. Central Valley Dairymen, Inc.,…