In a malicious prosecution action against a defendant in a bankruptcy proceeding, can a release be rescinded?

California, United States of America


The following excerpt is from Appleton v. Waessil, 27 Cal.App.4th 551, 32 Cal.Rptr.2d 676 (Cal. App. 1994):

In Eustace v. Dechter, supra, 53 Cal.App.2d 726, 128 P.2d 367, the plaintiff filed a malicious prosecution action against numerous defendants who allegedly forced her into involuntary bankruptcy. Plaintiff released some of the defendants by name and "any and all persons heretofore connected with said bankruptcy proceeding from any claim of any kind whatsoever." After the unnamed releasees asserted the release as a defense, plaintiff claimed menace and duress in the execution of the release, that there was no consideration for the release of the unnamed releasees, and for rescission of the release. The matter proceeded to trial and the court found that plaintiff failed in her burden of proof to set aside the release and that the terms of the document applied to the unnamed releasees.

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