Exemption Planning

Exemptions-6) Exemption planning

In re Beverly, 374 B.R. 221 (9th Cir. BAP 2007)

Debtor who, by way of a marital settlement agreement, exchanged his right to proceeds

from the sale of the marital residence for wife’s interest in an exempt ERISA-qualified pension

plan made a transfer with intent to hinder, delay or defraud under both California’s UFTA and §

727(a)(2). The combination of the size of the transfer and the fact that it left the debtor with no

assets with which to pay the debtor put this case outside the realm of legitimate pre-bankruptcy

planning.

In re Stern, 345 F.3d 1036 (9th Cir. 2003), cert. denied, 124 S.Ct. 1671 (2004)

Transfer of IRA assets into a non-qualified ERISA pension plan was not fraudulent.

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