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On or about June 30, 1998, petitioners commenced a
proceeding under chapter 13 of the Bankruptcy Code with the
Bankruptcy Court. As a result, on July 20, 1998, we stayed the
proceedings in this case.
After being notified that the Bankruptcy Court had dismissed
petitioners’ chapter 13 proceeding, we lifted the stay in the
proceedings in this case on August 17, 1998. We further directed
the parties to submit a joint status report concerning whether
this case would be ready for trial during this Court’s trial
session beginning on September 8, 1998, in Los Angeles,
California.
On September 16, 1998, we held the trial in this case.
On October 20, 1998, petitioners commenced a proceeding
under chapter 7 of the Bankruptcy Code with the Bankruptcy Court.
As a result, after being notified of petitioners’ commencement of
this bankruptcy proceeding, we stayed the proceedings in this
case on November 17, 1998.
In its Order of Discharge dated February 8, 1999, the
Bankruptcy Court granted petitioners a discharge in the chapter 7
bankruptcy proceeding they had commenced on October 20, 1998.
The Explanation Of Bankruptcy Discharge in a Chapter 7 Case
included with this order, stated, in pertinent part:
Debts That are Discharged
The chapter 7 discharge order eliminates a
debtor’s legal obligation to pay a debt that is
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