California Exemption Changes
CALIFORNIA
- S.B.1099: Signed into law on September 28, 2022. The bill goes into effect January 1, 2023. Highlights include:
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“Ride through” option restored for vehicles (no more repos for failure to reaffirm).
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Homes protected from trustees selling them due to post-petition appreciation where had been fully protected by the homestead exemption on the petition date. Such appreciation will also be exempt.
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Spouses living separate or apart from a non-filing spouse will no longer require a waiver from the non-filing spouse to utilize our alternate set of exemptions (which are usually more favorable for non-homeowners).
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Increases the motor vehicle exemption to $7,500 for both sets of exemptions.
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Creates new exemption fully exempting vehicles converted for use by a disabled debtor, spouse or dependent.
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Creates new exemption for up to an aggregate amount up to $7,500 for accrued or unused vacation pay, sick leave, family leave or wages.
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Creates new exemption for payments from settlement agreements arising from debtor’s employment (e.g. workplace harassment).
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Creates new exemption for alimony, maintenance and support which was not previously included in the set of exemptions which includes the homestead exemption.
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