FERGUSON, Circuit Judge:
This case stems from a state default judgment obtained by plaintiff Gregg against the defendant Rahm. When Rahm petitioned for a declaration of bankruptcy, Gregg asserted that the judgment came within the Bankruptcy Act's exceptions to dischargeability. Because Gregg has failed to provide any evidence that the acts upon which Rahm's liability was founded were "malicious," as required for the exception to dischargeability, we uphold the district court's conclusion that the judgment debt was dischargeable.
I
On August 7, 1975, Gregg obtained a default judgment for $3,032.60 against Rahm. The judgment was founded upon §§ 632 and 637.2 of the California Penal Code, which provide civil penalties when an individual intentionally records another's confidential communication without his permission.
After the default judgment was entered, Rahm filed a voluntary petition in bankruptcy. Subsequently, Gregg brought an action in bankruptcy court to determine the dischargeability of the judgment-debt. The bankruptcy court found that the acts leading to the judgment were not "willful and malicious," as required for exclusion from dischargeability under former 11 U.S.C. § 35(a)(8).
II
Under 11 U.S.C. § 35(a)(8), a liability stemming from the "willful and malicious" conduct of the debtor is not dischargeable in bankruptcy. The creditor has the burden of proving both willfulness and malice. Matter of Kasler, 611 F.2d 308, 309 (9th Cir. 1979). This burden is weighty in light of the rule that exceptions to dischargeability are to be strictly construed so
Gregg appears to argue that the default judgment required the bankruptcy court to find willfulness and malice. This argument is without merit.
First, in this circuit a prior state court judgment has no collateral estoppel force on a bankruptcy court considering dischargeability unless both parties agree to rest their cases on that judgment. Kasler, supra, at 309; Lawrence T. Lasagna, Inc. v. Foster, 609 F.2d 392, 396 (9th Cir. 1979), cert. denied, 446 U.S. 919, 100 S.Ct. 1853, 64 L.Ed.2d 273 (1980). At most, a prior judgment establishes a prima facie case of non-dischargeability which the bankrupt is entitled to refute on the basis of all relevant evidence. Id.
Second, on the record under consideration it is doubtful that even a prima facie case was established.
In Tinker v. Colwell, 193 U.S. 473, 480, 24 S.Ct. 505, 506, 48 L.Ed. 754 (1904), the Supreme Court defined "malice" under § 17(2) of the Bankruptcy Act of 1898. That section contained language identical to 11 U.S.C. § 35(a)(8). Tinker held that an act is malicious when done with "a willful disregard of what one knows to be his duty" and when it is "an act which is against good morals and wrongful in and of itself, and which necessarily causes injury and is done intentionally." 193 U.S. at 487, 24 S.Ct. at 509; Kasler, supra, at 310 n.6. Cf. Matter of Kearney Chemicals, 468 F.Supp. 1107, 1110 (D.Del.1979) (under § 35(a)(8), act is malicious if "wrongful and without just cause or excuse ...").
The default judgment provides no basis for concluding that Rahm's conduct in recording the phone call was "against good morals and wrongful in and of itself."
The judgment entered by the district court is
AFFIRMED.
FootNotes
Section 637.2 provides in pertinent part:
Because all relevant acts of the parties occurred prior to October 1, 1979, the date the new bankruptcy act became effective, § 402 of Pub.L. 95-598, Title IV, Nov. 6, 1978, 92 Stat. 2682, disposition of the case is controlled by section 35(a) of the prior act. Section 35(a)(8) has been reenacted without significant alteration as 11 U.S.C. § 523(a)(6).
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