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Abstract

Certain debts are categorically barred from discharge through bankruptcy. Debt for money obtained by fraud is one such category. In Archer v. Warner, the United States Supreme Court addressed the issue of whether a voluntary settlement agreement between the parties that generally released underlying fraud claims so changed the nature of the debt as to render it dischargeable in bankruptcy. This Note explores the analysis employed by the Court and argues that, in light of the Court’s precedent in this area and underlying purpose of the Code, the Court in Archer reached the correct conclusion.

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