99 Iowa L. Rev. 867 (2014)

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Abstract

After Congress revised the Bankruptcy Code in 2005, courts have taken divergent views about how to apply 11 U.S.C. § 522 in relation to state exemptions. Three main interpretations have developed: antiextraterritoriality, preemption, and state-specific. This Note advocates the state-specific approach, as it prevents forum shopping without rendering state exemption laws void or futile. The state-specific view requires courts to consider both state case law and public policy. When state statutes remain silent, courts applying the state-specific interpretation should liberally construe the exemption statutes in favor of the debtor and allow extraterritorial application.