OREGON BANKRUPTCY LAW

Oregon Bankruptcy: Attorneys, Statistics, Exemptions and Courts.

Oregon Bankruptcy Statistics:

In Oregon, in 2009, 18,380 bankruptcies were filed. Business bankruptcies accounted for 593 or 3.23% and personal bankruptcies accounted for 17,787 or 96.77% of the total filings.

Oregon State Bankruptcy Exemptions Homestead

The home (“homestead”) exemption is limited in value to $30,000 for one person and $39,600 for joint owners. The property cannot be larger than one block in a town or city or 160 acres elsewhere. In addition, for mobile homes or houseboats, the exemption is limited to $23,000 for one person or $30,000 for joint owners. For mobile homes on land not owned by the debtor, the limitation on value is $20,000 for one person and $27,000 for joint owners of the mobile home. Lastly, property owned by a soldier or sailor in time of war is entirely exempt. Oregon defines “homestead” to include real property that the debtor occupies or intends to occupy, mobile homes, and houseboats. In addition, proceeds from the sale of a residence in their entirety are exempt for one year if the debtor intends to buy another residence.

In addition to the Homestead exemption, Oregon residents can exempt prepaid rent and deposits for their residences.

Personal Property

The following expenses or items are exempt in their entirety in Oregon:

1. Prescribed health aids
2. Federal tax credit for earned income
3. Lost earning compensation payments for the debtor or the debtor’s dependents
4. Proceeds from sold, exempt property
5. Burial plot
6. Building material intended for construction of an improvement

The following expenses or items are exempt up to a specified limit in Oregon:

1. Books, pictures, and musical instruments are limited to $600 total
2. Clothing and jewelry and other personal items are limited to $1,800 total
3. Motor vehicle is limited to $7,500
4. Pets, domestic animals and poultry are limited to $1,000 and enough food to last 60 days
5. Household items (furniture, utensils, televisions, and radios) are limited to $3,000 total
6. Recoveries for personal injury are limited to $10,000
7. Bank deposits are limited to $7,000
8. Savings accounts for higher education are limited to $7,500
9. Guns (pistol, rifle, shotgun) are limited to $1,000 for debtors over 16

Pension

The following individuals’ and their survivors’ pension benefits are exempt or partially exempt when filing for bankruptcy in Oregon:

1. Public officers and employees-up to $7,500

The following pension types are exempt or partially exempt when filing for bankruptcy in Oregon:

1. Federal pension exemption
2. ERISA qualified benefits (IRAs, SEPs)-up to $7,500

Insurance

The following insurance types are entirely or partially exempt when filing for bankruptcy in Oregon:

1. Life insurance proceeds or value if the insured is not the debtor
2. Fraternal benefit society limited to $7,500
3. Group life insurance-if not payable to the insured
4. Annuity contract benefits are limited to $500 per month
5. Disability or health proceeds

Public Benefits

The following public benefits are exempt when filing for bankruptcy in Oregon:

1. Crime victims’ compensation
2. Vocational rehabilitation limited to $7,500
3. Civil defense and disaster relief
4. Aid for the blind, disabled, elderly up to $7,500 each
5. General assistance benefits are limited to $7,500
6. Medical assistance is limited to $7,500
7. Injured inmates limited to $7,500
8. Workers’ compensation is limited to $7,500
9. Unemployment compensation is limited to $7,500
10. Veteran’s benefits and proceeds from veterans’ loans

Tools of the trade

This is a separate exemption. The following items have been considered tools of the trade in the state of Oregon:

1. Library, tools, and team of animals with feed to last 60 days are limited to $3,000

Wages

In Oregon, the greater of 75% or more of disposable weekly earnings, or $170 is exempt. In addition, wages withheld for state employee bond savings accounts are exempt.

Wildcard: Up to $400 of personal property not covered by another exemption.

Federal Exemptions: No, debtors are not allowed to take federal exemptions when filing for bankruptcy in Oregon.

Oregon Bankruptcy Court:

United States Bankruptcy Court, District of Oregon