United States Third Circuit

In bankruptcy proceedings filed under Chapter 7, decisions of the bankruptcy and district courts that the trustee of the estate, and not the debtor, is entitled to any post-petition appreciation in value of the estate's assets that surpasses the dollar amount exempted pursuant to the wildcard exemption in 11 U.S.C. section 522(d)(5), are affirmed where: 1) the straightforward application of the teachings and instructions of Schwab v. Reilly, 130 S. Ct. 2652 (2010), means that the debtor properly exempted one dollar's worth of his oil and gas lease and no more; and 2) when a debtor retains only an interest in an asset, rather than the asset itself, the debtor is limited to the value of the exemption and the estate is entitled to any appreciation in the asset's value beyond the amount exempted.

Appellate Information

• Decided 07/20/2012
• Published 07/20/2012

Judges

• Aldisert

Court

• United States Third Circuit

Counsel