Retirement accounts have traditionally been considered ‘exempt assets’ unavailable to creditors under the bankruptcy code in a chapter 7 bankruptcy. A recent decision by the 8th Circuit Bankruptcy Appellate Panel in In re Lerbakken puts this protection in jeopardy for spouses receiving retirement accounts in a divorce. In Lerbakken, the husband received half of his…
Wife Inherits From Husband Despite Living Separately for Over 30 Years
The Michigan Supreme Court ruled in the case of In Re Erwin Estate that a wife could inherit as her deceased husband’s “surviving spouse” after her husband’s death, even though they had separated and been living apart for over 30 years. The husband James Erwin died without a will, which means his estate was to…
Pets are Still Considered Property in Divorce Cases
In Michigan, as in most parts of the country, pets are considered “chattel” or property under the law. This legal concept dates back to times when animals and livestock were considered working animals and contributing to the income and value of their owner’s homestead. Today most animals kept as pets are beloved members of the…