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Metropolitan Creditors Service v. Sadri

California Court of Appeal

19 Cal. Rptr. 2d 646 (1993)

Relevant factsFree

Sadri (defendant), a California resident, ran up a large gambling debt at a Nevada casino, giving the casino personal checks and memoranda of indebtedness in exchange for chips he then lost. He later stopped payment on the checks. The casino assigned its claims to Metropolitan Creditors Service (MCS) (plaintiff), which sued Sadri in California to collect. The municipal court ruled for Sadri, finding that although Nevada law permits suits to enforce gambling debts, California public policy barred enforcing this debt in a California court. The appellate court affirmed, and MCS appealed further.

IssueFree

Whether judicial enforcement of gambling debts is generally against public policy in California.

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