Opinion ID: 1403418
Heading Depth: 1
Heading Rank: 4

Heading: reliance by the lender on the financial statement.

Text: The lender made no credit check of the financial statement. The prior loan history of these people with Aetna, the refinance and financial statement, both completed in a short time, discount Aetna's contention that it relied upon the financial statement. Cash Finance Service Inc. v. Haisch, supra; Beneficial Finance Co. v. Crane, 4 Conn.Cir. 627, 239 A.2d 48 (1967); Sweet v. Ritter Finance Co., supra; Public Finance Corp. v. Xarhakos, 2 Conn.Cir. 469, 202 A.2d 255 (1964); Consolidated Credit Corp. v. Matherne, 217 So.2d 426 (La. App. 1969); Rouge Employees Credit Union v. Wilson, 7 Mich. App. 16, 151 N.W.2d 214 (1967); Swanson Petroleum Corp. v. Cumberland, supra. Naturally, we do not have the benefit of observing the parties as they testify. Nor do we have a complete transcription of the testimony. We take this record as we find it and the reflection is a pattern that is common in the lending business. The innocent borrower is at a disadvantage. The loan company knows the significance of a complete financial statement, but usually the borrower does not. While we do not condone escape from honest debt, we do know that a wage earner's financial life does not always go smoothly and that many times the unexpected upsets the expected and he finds himself hopelessly in debt. The purpose of the Bankruptcy Act is to relieve such people. The elements of fraud do not exist in this case. There is no evidence that takes Mr. and Mrs. Gonzales out of the protection of their bankruptcy. Counsel for appellants was unavoidably absent from the scheduled oral hearing. Counsel for respondent appeared without knowing that the attorney for appellants would not appear. This appeal was therefore submitted on briefs. He is entitled to reimbursement for his round-trip air fare and auto rental to be paid by appellants' counsel. It is so ordered. Reversed. Judgment shall enter for appellants with costs subject to the foregoing travel reimbursement already ordered. COLLINS, C.J., and BATJER, MOWBRAY and THOMPSON, JJ., concur.