Chapter 2: Property of the Estate

Question 1

what section provides the general rule for determining what is/is not property of the estate?

Answer 1

section 541

Question 2

at what point in time is property of the estate defined?

Answer 2

the moment the petition is filed

Question 3

under 541, does the bankruptcy estate include the DR’s post filing wages or winning the lottery after filing?

Answer 3

no

Question 4

what defines what is considered property under 541 (property of the estate)?

Answer 4

state law

Question 5

under 541(a)(5), what 4 major types of property are deemed to be property of the estate if happen w/i 180 days of filing? (4 things)

Answer 5

1. inheritance
2. award/judgment of a sum of money
3. divorce property settlement
4. life insurance settlement

Question 6

what does the Butner doctrine say?

Answer 6

non-BK law (usually state law) determines the substantive rights of the parties unless a specific BK rule or principle alters those rights. Federal BK laws then govern the parties’ procedural rights

Question 7

If the DR obtains property after the start of BK, is this property part of the BK estate?

Answer 7

no

Question 8

Can property that has been acquired after filing BK be used to enforce the payment of pre-BK claims?

Answer 8

no

Question 9

what is it called when an entity must give back property to the TT if the TT can use, sell, or lease the property or the DR can exempt the property?

Answer 9

turnover

Question 10

what is the purpose of exemptions?

Answer 10

facilitate the DR’s fresh start by allowing them to keep some property

Question 11

where are exemptions talked about in my outline?

Answer 11

property of the estate

Question 12

is exempt property counted as property of the BK estate?

Answer 12

no

Question 13

what does it mean to say that a case is a no asset case?

Answer 13

means there is no property to distribute to the unsecured creditor even if they are priority unsecured creditors (they get nothing)

Question 14

when does the DR have to claim an exemption to a piece of property?

Answer 14

when that property is property of the estate

Question 15

which section relates to exemptions?

Answer 15

522

Question 16

what must the DR have in order to claim an exemption in a specific piece of property?

Answer 16

equity in that property

Question 17

if there is no equity in a specific piece of property, does a DR need to claim an exemption for it?

Answer 17

no

Question 18

what happens to the exempt amounts listed in 522(d) if a married couple files a single joint petition?

Answer 18

the amounts are doubled

Question 19

what should you replace the word “avoid” w?

Answer 19

get back

Question 20

when can the DR avoid the fixing of a lien in terms of property of the estate?

Answer 20

when:

1. the lien is created by a judicial lien AND
2. the lien impairs an exemption to which the DR would have been entitled AND
3. lien attached after DR acquired property interest

Question 21

can a DR avoid the impairment of an exemption if the lien attaches to the property at the same time the property interest is created?

Answer 21

no, 522(f) does not apply in this situation

Question 22

which section prevent bad actor DRs from exempting more than $155,675 in a homestead exemption?

Answer 22

522(q)