In re Abel
UNPUBLISHED
The Debtor moved from Montana to Utah prior to filing her bankruptcy petition and the Bankruptcy Code's domiciliary provision required her to claim Montana exemptions. The issue was whether the Montana residency limitation on exemptions applied to debtors in bankruptcy, or in the alternative, whether 11 U.S.C. Section 522(b)(3) permitted the Debtor to claim federal or Montana exemptions against some, none, or all of her assets. Based on precedent from the Montana Supreme Court and applying the plain meaning of each word while observing the distinction between an individual and a resident, the Court found that the specifics of Mont. Code Ann. Section 31-2-106 controlled over the general of Mont. Code Ann. Section 25-13-6. In the alternative the Court held that if Montana limits its exemptions to residents, then the Debtor was rendered ineligible for any exemption and the safety net in 11 U.S.C. Section 522 applied. The Court would apply the State specific interpretation to apply the state law to the fullest extent possible, including any limitations imposed by the Montana exemption statute on the category or amount of a Montana exemption.