Legal Question in Bankruptcy in California

HELP! Chapter 7, Joint Filing, CA

My husband and I are jointly filing Chapter 7 in CA(Central District).

I am filling out the forms (per se) because we cannot afford a lawyer.

We each have a car - both pretty old - which are totally paid for.

My car has a market value of $1800, and my husband's is $1900.

I am currently unemployed due to a lay-off, but hope to be working soon, and I'll need my car to get to/from work.

My husband is in Sales which requires extensive driving for his accounts, and needs his car to do his job. The job actually requires him to have his own transportation.

My question: is there a way to file which will enable us to keep both cars?

My approach:

If we file using California System #1, we cannot double the personal property exemption for cars, right? So...

I can claim my car as exempt under ''Personal Property'' for the full amount of $1800 (704.010)

Can I claim my husband's car as a ''Tool of the Trade'' for $1900? (Since his job requires the car?)

Is this approach correct? We don't own any real estate or a home or own anything of significant value which would otherwise cause a problem, so the ''Homestead'' stuff doesn't apply to us. I just picked System #1.

THANKS!


Asked on 9/20/01, 3:56 am

1 Answer from Attorneys
Mark Markus Law Office of Mark J. Markus

Re: HELP! Chapter 7, Joint Filing, CA

No. You should probably use the California Code of Civil Procedure 703 series exemptions. Of course, without reviewing all your relevant facts, I could not advise you for sure.

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Answered on 11/05/01, 9:06 pm


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