Case Summary:
Creditor store's adversary proceeding seeking determination that debt from debtor's purchases totaling $1,047.42 is nondischargeable pursuant to 11 U.S.C. § 523 (a)(2)(C) -- the luxury goods exception -- is dismissed.  To establish a presumption of nondischargeability under § 523(a)(2)(C), a plaintiff must show: 1) a consumer debt; 2) owed to a single creditor; 3) aggregating more than $500.00; 4) for luxury goods or services; 5) incurred by an individual debtor; 6) on or within forty days before the order for relief.  Citing In re Blackburn, 68 B.R. 870, 873 (Bankr. N.D. Ind. 1987).  Debtors successfully rebutted the presumption by testifying that the purchases were made impulsively and that bankruptcy was not contemplated until after they received a notice of deficiency from the Veterans Administration.

Statue/Rule References:
11 U.S.C. § 523(a)(2)(C) -- Nondischargeability - Luxury Goods

Key Terms:
Luxury Goods