Do any state laws apply to bankruptcy? 14 Answers as of February 05, 2011

Are there any state laws that can affect your bankruptcy?

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Law Offices of Michael J. Berger
Law Offices of Michael J. Berger | Michael J. Berger
Yes. Exemptions are determined under state law. Exemptions state what property debtors can keep, even if a creditor has a judgment against the debtor or the debtor is in bankruptcy. Other state laws apply as well.
Answer Applies to: California
Replied: 2/5/2011
Mankus & Marchan, LTD
Mankus & Marchan, LTD | Tony Mankus
Generally speaking, all State laws apply in bankruptcy, unless they are superseded by specific Federal laws. Specifically, many States have chosen to incorporate their exemption statutes into the Federal bankruptcy statutes, for example.
Answer Applies to: Illinois
Replied: 1/10/2011
Gus Johnson Attorney at Law
Gus Johnson Attorney at Law | Gus Johnson
Most times a debtor's exemptions are determined by state law, other state laws can be applicable but not often.
Answer Applies to: South Dakota
Replied: 1/6/2011
DiManna Law Office, LLC.
DiManna Law Office, LLC. | Dawn DiManna
Yes, your exemptions are based upon state law. I am not sure what other area you may be concerned about.
Answer Applies to: New Hampshire
Replied: 1/6/2011
Law Offices of Lady Justice
Law Offices of Lady Justice | Mona Patel
Bankruptcies are done in Federal Court. However there may be certain rules that pertain to one state over another. By contacting our law offices we can help you in any state.
Answer Applies to: California
Replied: 1/6/2011
    Christopher Legal Group
    Christopher Legal Group | Shawn Christopher
    Sometimes. For example, the exemptions (i.e. property that you can keep if you file bankruptcy) differ from state to state.
    Answer Applies to: Nevada
    Replied: 1/6/2011
    Diefer Law Group, P.C.
    Diefer Law Group, P.C. | Abel Fernandez
    All your exemptions are under state law. So, the answer is yes. In California, the amount of assets that you can protect is determined by California state law.
    Answer Applies to: California
    Replied: 1/6/2011
    Janet A. Lawson Bankruptcy Attorney
    Janet A. Lawson Bankruptcy Attorney | Janet Lawson
    Very state has different exemptions.
    Answer Applies to: California
    Replied: 1/6/2011
    Bankruptcy Law Office of Robert Weed
    Bankruptcy Law Office of Robert Weed | Robert Weed
    Yes, bankruptcy is set up by the Federal government, but each state sets its own rules on what you are allowed to keep.
    Answer Applies to: Virginia
    Replied: 1/6/2011
    Ursula G. Barrios Law
    Ursula G. Barrios Law | Guillermo Machado
    State laws determine what you can protect when filing for bankruptcy (which falls under federal law). In other words,each state has different laws (exemptions) that are used to protect property. This becomes critical when filing for federal bankruptcy. You will generally use the laws of the state in which you reside to exempt your property. In CA, these are found under CCCP 703, 704.
    Answer Applies to: California
    Replied: 1/5/2011
    Carballo Law Offices
    Carballo Law Offices | Tony E. Carballo
    All state laws apply to bankruptcy cases except where they conflict with federal bankruptcy law. There are no state laws directly on bankruptcy since only federal bankruptcy law can exist to control how bankruptcy cases are handled. However, what property you are allowed to keep in a bankruptcy case is generally dictated by exemptions permitted by California law. Likewise, the definition of what is property and your legal obligations for debts are controlled by California law. Bankruptcy law is mostly about the procedure. If there is a dispute as to what is owed, how much is owed, for how long a debt may be collected, what is "property", what is a "debt", is there a valid "contract", what rights to property you have, etc. are all determined by California law. The bankruptcy court must make decisions on those "substantive" issues based on California cases and statutes.
    Answer Applies to: California
    Replied: 1/5/2011
    Steven D. Keist, Attorney at Law
    Steven D. Keist, Attorney at Law | Steven D. Keist
    Yes state exemptions.
    Answer Applies to: Arizona
    Replied: 1/5/2011
    The Law Office of Mark J. Markus
    The Law Office of Mark J. Markus | Mark Markus
    Yes. State law governs many aspects or bankruptcy cases. The bankruptcy code defers to state or other "applicable nonbankruptcy law" in many instances. One is for exemptions (exemptions are usually based on where the debtor lived for the 2 years prior to filing the bankruptcy case). State law also governs (or more correctly, supplements) the bankruptcy code statute for fraudulent transfers. There are too many to list here, but suffice to say the answer to your question is: "yes"
    Answer Applies to: California
    Replied: 1/5/2011
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