Eligible Small Business Corporate Debtors Exempt From Nondischargeability Determinations A non-individual small business debtor proceeding under

Eligible Small Business Corporate Debtors Exempt From Nondischargeability Determinations A non-individual small business debtor proceeding under

Subchapter V of Chapter 11 of the U.S. Bankruptcy Code is not subject to a determination

of nondischargeability of a specific debt, according to the U.S. Bankruptcy Court for the Middle District of Florida. In Nutrien AG Solutions Inc. v.

Karen W. Hall, et al., Judge Burgess joined at least 5 other bankruptcy courts which have held that non-individual debtors are not subject to a determination of nondischargeability under §523(a), since that section only applies to non- individual debtors.

In so holding, the court rejected the holding of the U.S. Court of Appeals for the Fourth Circuit in Cantwell-Cleary Co. v. Cleary Packaging, LLC.

In that case, the Fourth Circuit reasoned that a Subchapter V debtor is subject to a determination of nondischargeability under §523(a) when it receives a discharge under §1192 (i.e., when the plan is confirmed via cramdown). The court of appeals concluded that this applies to individual and corporate debtors, as §1192 does not distinguish between the two.