context: The reasonableness of a creditor's reliance, in our view, should be judged in light of the totality of the circumstances. The bankruptcy court may consider, among other things: whether there had been previous business dealings with the debtor that gave rise to a relationship of trust; whether there were any "red flags" that would have alerted an ordinarily prudent lender to the possibility that the representations relied upon were not accurate; and whether even minimal investigation would have revealed the inaccuracy of the debtor's representations.
citation_a.signal: see also
citation_a.identifier: 817 F.2d 677, 679
citation_a.parenthetical: "[T]he reasonableness of a creditor's reliance will be evaluated according to the particular facts and circumstances present in a given case."
citation_a.sentence: See In re Ledford, 970 F.2d 1556, 1560 (6th Cir.1992) (setting forth circumstances that may be considered in context of section 523(a)(2)(A) reasonableness of reliance determination), cert. denied, — U.S.-, 113 S.Ct. 1272, 122 L.Ed.2d 667 (1993); see also In re Mullet, 817 F.2d 677, 679 (10th Cir.1987) (“[T]he reasonableness of a creditor’s reliance will be evaluated according to the particular facts and circumstances present in a given case.”).
citation_b.signal: see
citation_b.identifier: 970 F.2d 1556, 1560
citation_b.parenthetical: setting forth circumstances that may be considered in context of section 523(a
citation_b.sentence: See In re Ledford, 970 F.2d 1556, 1560 (6th Cir.1992) (setting forth circumstances that may be considered in context of section 523(a)(2)(A) reasonableness of reliance determination), cert. denied, — U.S.-, 113 S.Ct. 1272, 122 L.Ed.2d 667 (1993); see also In re Mullet, 817 F.2d 677, 679 (10th Cir.1987) (“[T]he reasonableness of a creditor’s reliance will be evaluated according to the particular facts and circumstances present in a given case.”).