C. Russell Kelleran, Jr., Eighteen Mile Corporation v. Slavko Andrijevic, A/K/A Al Andrie

MESKILL, Circuit Judge:

This is an appeal from a judgment entered in the United States District Court for the Western District of New York, Cur-tin, C.J., affirming a judgment entered in the United States Bankruptcy Court, McGuire, J., that disregarded the preclu-sive effect of a state court default judgment fixing the liability of the debtor-appel-lee, Andrijevic, to one of the creditors-ap*694pellants, Eighteen Mile Corporation, and disallowed the creditors’ claims.

This appeal presents the issue whether the bankruptcy court’s equitable powers permit it to disregard the preclusive effect of a…