Rutanen v. Baylis (In Re Baylis)

OPINION

JAMES F. QUEENAN, Jr., Bankruptcy Judge.

In a decision affirmed by the Supreme Judicial Court of Massachusetts, 1 it has been determined that Carl E. Baylis, Esq. (the “Debtor”) failed to use reasonable care in attempting to prevent his co-trustee from committing a breach of trust. The question here is whether the ensuing judgments entered against the Debtor are nondischargeable in bankruptcy as debts for “defalcation while acting in a fiduciary capacity” or for “willful and malicious injury by the debtor ... to the property of another” within the meanings, respectively, of sections…