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Contact Schifanelli Law, LLP at 410-263-0028 for an initial consultation with a Lawyer in Annapolis.
2450 Riva Road, Suite 201, Annapolis, Maryland 21401.
Serving the Maryland and Washington D.C. Communities.
Property in Maryland is commonly divided into two broad categories: "real" and "personal." Real propertyincludes land and anything growing on, attached to, or erected on it. Personal property is pretty much anything else that is movable, or intangible but subject to ownership. Thus, guns, clothes, jewelry, automobiles, antiques, etc. are personal property. Under Maryland bankruptcy law exemptions, a Maryland resident filing for bankruptcy may claim as exempt from the estate any cash or property of any kind equivalent in value to $6,000 (see section 11-504(b)(5) of the Maryland Courts and Judicial Proceedings Article). So if you file for Chapter 7 Bankruptcy relief in Maryland, and you own guns that have a value of $1500, jewelry equal to $2500 and other various items that, when added together, equal less than $6,000, then the U.S. Trustee will not be able to sell these items in order to compensate, for example, credit card companies. Our Maryland bankruptcy lawyers in Annapolis can advise you further regarding exempted property should you need to file for Chapter 7 bankruptcy.
Section 11-504 of the Maryland Courts and Judicial Proceedings Article lays out the exemptions available to Maryland residents filing for Chapter 7 bankruptcy relief. In addition to the above, a professional or tradesperson may keep up to $5,000 in books, wearing apparel, tools, instruments, or appliances that are necessary for her trade or profession (11-504(b)(1)). You can also keep up to $1,000 in household furnishings, household goods, appliances, books, and/or any other items that are held primarily for personal, family, or household use. We definitely recommend that you speak with an Annapolis bankruptcy lawyer if you are contemplating filing for bankruptcy relief, in order to help you take advantage of the best combination of exemptions in order to avoid sale of your property and distribution of the proceeds to your creditors. Our Annapolis, Maryland bankruptcy attorneys can answer any questions that you may have regarding exemptions, provide guidance as to what type of bankruptcy filing is right for you, and prepare and submit the filing on your behalf. Our fees are fixed and very competitive in the spirit of bankruptcy relief.
Filing for Bankruptcy is somewhat complicated, and involves preparing and filing, not only the petition itself, but also a number of "schedules." For example, Schedules A and B list all personal and real property that you own or in which you have an equitable interest, along with their current market values. Other schedules list all of your creditors of any type, for exampled unsecured credit card companies, or a mortgage company with a secured interest in your home, including all addresses and the amounts owed or due on any lien. Exempted property is listed on Schedule C, and includes the type and location of the property, its value, and the section of the law under which you are claiming an exemption.
Generally, when a person files bankruptcy in Maryland or the District of Columbia, the property that they own outright, or in which they have an equitable interest, is subject to being included in what is called the bankruptcy "estate." A Federal trustee is appointed in the case and he or she has the power to sell or liquidate any and all property or property interests in the estate, returning the proceeds to the debtor's unsecured creditors.
What the Trustee cannot sell or liquidate includes any of the debtor's property that is "exempt" or "exempted" according to the bankruptcy laws. The Federal bankruptcy exemptions are found in section 522(d) of the Federal Bankruptcy Code. However, Maryland law requires that Maryland residents or persons domiciled in Maryland use only the State's exemptions. (See the Courts and Judicial Proceedings Article, section 11-504(g).
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