Trustee objected to Debtor’s claimed exemption in real property that Debtor quitclaimed to his former spouse pre-petition as part of a Settlement Agreement executed one day prior to the spouse’s filing a Divorce Proceeding. The deed was recorded three days later. During the pendency of the Divorce Proceeding the Debtor filed for bankruptcy and a Final Judgment of Divorce was entered thereafter. The Court determined that the Property was not property of the bankruptcy estate and Debtor had no interest to exempt because it was transferred pre-petition when the Debtor executed the Deed contemporaneously with the Settlement Agreement. The transfer was not an equitable division of property which arose after the divorce proceeding was filed. Further, the exception contained within O.C.G.A. § 19-5-7 did not apply to the transfer. Consequently, Debtor had no interest in the Property on the Petition Date. In addition the transfer of the Property was a voluntary transfer for purposes of § 522(g)(1)(A). And, to the extent the Trustee recovers the Property, Debtor would not be entitled to claim an exemption in the Property. NOT INTENDED FOR PUBLICTION
Official websites use .gov
A
.gov website belongs to an official government
organization in the United States.
Secure .gov websites use HTTPS
A
lock
(
) or https:// means you’ve safely connected to
the .gov website. Share sensitive information only on official, secure websites.