If a married couple living in Florida files bankruptcy, and this couple owns a homesteaded real estate property in Michigan....Which State bankruptcy laws are used?
I'm not a lawyer, but my guess is that the laws in the state where you reside and file bankruptcy prevail. Any one else know for sure? If you're thinking of filing bankruptcy, I would definitely take some time to review your options with a good bankruptcy attorney.
The BK court may balk if you claim homestead exemptions on both Michigan and Florida residences, assuming you own, too, in Florida. The way around that would be to homestead on residence in the husband's name and the other in the wife's.
