When personal assets are at stake, there are items that can be excluded from seizure. Those who own a business are allowed to figure out what the fair market value is for items during bankruptcy. Florida business owners must claim their exemptions in order to protect their rights, otherwise, the property may be considered non exempt. There are certain properties that fall under exempt.
Exempt residence includes property that is used as a residence, such as a house or land. Other residences include, burial plots and mobile homes. Certain personal assets inside the home are also exempt, including furniture, appliances and books. Also exempt is financial support awarded from a divorce, such alimony and child support payments. Personal injury compensation is also protected under the exemption.
If any type of government entity is staking their claim, then it is not exempt. It’s important for business owners to safeguard their exemption rights. This can be done by alerting the Clerk of Court in the event of an address change after a judgment has been issued. It is vital for business owners to get legal advice if they believe that their personal assets are at risk of being seized.
Filing for personal bankruptcy in Florida can help alleviate debt from an individual as well as a business. There are steps a business owner can take to ensure their personal property is protected against seizure from creditors. When in doubt, a financial adviser or legal representative may be able to go over all of your options and plan to responsibly confront unmanageable debt in a manner that also protects personal assets.
Source: sacbee.com, Protect Personal Property When Owing Business Debt, No author, Aug. 27, 2013