This section contains the nature of the case and procedural background.

Lapp (D) owned 100% of the stock of Joslyn Fruit Co. In 1975, Lapp (D) married Laura in Colorado. Under Colorado law, the stock was D's separate property. Things did not go well as Joslyn and D were in debt to Pacific (P) for $34,710.70. P agreed to continue to supply produce to D if D signed a promissory note that he would be personally liable along with Joslyn for the payment. Laura did not sign the note. Under Colorado Law, the promissory note was uncollectible against Laura. D eventually defaulted on the note and moved to Washington. P sued D in Washington, a community property state. P contends that the marital community property assets are liable for the repayment of the note. D contends that community property law now governs the transaction and that no community assets may be used to satisfy the debt.

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