New York Bill to Shield More Debtors in Bankruptcy Is Signed by Paterson

New York debtors in bankruptcy and other court cases will be able to shield more assets from lenders under a law signed by Governor David Paterson, Bloomberg News reported on Thursday. The law increases the dollar value of some exemptions for the first time since the 19th century, and raises others to levels that would help debtors live without government assistance, said Charles Juntikka, a New York City lawyer who represents debtors. Under the new law, debtors can retain vehicles valued as much as $4,000 above an associated loan, up from $2,400. They also may keep a home with equity of $75,000 to $150,000, depending on location, up from $50,000. Home equity is the value of a home, less mortgages. The measure may make it harder for New York City to enforce parking rules and collect unpaid tickets, according to a July letter from Mayor Michael Bloomberg. The city will seek to amend it to solve that problem, said a spokesman for the mayor.

http://www.bloomberg.com/news/print/2010-12-23/new-york-bill-to-shield-more-debtors-in-bankruptcy-is-favored-by-paterson.html