Shaffer v. Iowa Student Loan Liquidity, No. 12-6010 (8th Cir. 2012)Annotate this Case
Iowa Student Loan appealed the bankruptcy court's judgment determining that the educational loan debts that debtor owed were discharged. Having reviewed de novo the bankruptcy court's conclusion that excepting debtor's student loan debts from discharge would constitute an undue hardship and having reviewed for clear error the findings of fact on which the bankruptcy court based its conclusion, the bankruptcy appellate panel affirmed the judgment.
Court Description: Bankruptcy Appellate Panel. Judgement discharging debtor's student loans affirmed ; the court did not err in finding: (1) she could not repay the loans without undue hardship; (2) the limits on her earning power were not self-imposed and (3) that debtor's mental health impacted her earning power, even in the absence of expert testimony on the issue. [ October 29, 2012