Time Finance Corp. v. Clark

In its action the plaintiff sought to recover a balance due on a promissory note upon which, it claimed, the defendants, husband and wife, were obligated, jointly and severally. In their answer the defendants, by way of a special defense, allege that the obligation was discharged by a discharge in bankruptcy, which defense the plaintiff denied on the ground that the debt was incurred through a materially false financial statement of the financial condition of the defendants and was, therefore, not dischargeable under § 17a (2) of the federal Bankruptcy Act.' 74 Stat. 409,11 U.S.C. § 35 (a)…