In re Simpson
| Decision Date | 06 March 1997 |
| Docket Number | Bankruptcy No. 96-71952. |
| Citation | 206 BR 230 |
| Parties | In re Merwyn Lee SIMPSON. |
| Court | U.S. Bankruptcy Court — Eastern District of Oklahoma |
Jimmy Veith, Ardmore, OK, for Debtor.
Robert Inglish, Okmulgee, OK, for Aspect Technology.
Kenneth G.M. Mather, Tulsa, OK, Trustee.
ORDER ALLOWING HOMESTEAD EXEMPTION
On the 3rd day of February, 1997, the Objections to Claim of Exemption filed by Aspect Technology ("Aspect") and Kenneth G.M. Mather, Chapter 7 Trustee; Response by Debtor; Motion to Modify Stay and Request for Abandonment and Objection by Debtor came on for hearing. Counsel appearing were Jimmy Veith for the Debtor, Robert Inglish for Aspect and Kenneth G.M. Mather, Chapter 7 Trustee. At the conclusion of the hearing, the Court gave the parties until February 10, 1997 to submit additional arguments and authorities, which all parties filed. After a review of the above-referenced pleadings, this Court does hereby enter the following findings and conclusions in conformity with Rule 7052, Fed.R.Bankr. P., in this core proceeding:
The issue in this case is whether the real property located in Love County is the Debtor's homestead. The real estate was purchased in July 1991. One year prior to purchasing the property, the Debtor owned a business in Plano, Texas. The business was sold to Aspect. After the sale, the Debtor continued to work for Aspect as vice-president of sales. While working for Aspect, he had a bed, shower and refrigerator in an empty office. He did not have a kitchen. At that time, the Debtor spent 75-80% of his time on the road working, 10-15% of his time in his office and 10-15% of his time on the property in Oklahoma.
Approximately fifteen months later, the Debtor had a disagreement with Aspect and his employment with Aspect ended. Thereafter, he spent all of his time on the property in Oklahoma. Seven months later, the Debtor accepted a position with Ultrak, which is located in Carrollton, Texas. When he first began working for Ultrak, he commuted from Love County to Carrollton, which is approximately ninety miles. After six months, the Debtor began staying with his son, who lives in Carrollton. He spent weekends, holidays and evenings when he could in Oklahoma.
Thereafter, he rented an apartment in Texas. Presently, he stays with his girl-friend in Carrollton and pays rent to her. At the time the Debtor filed bankruptcy, sixty percent of his personal property was in Oklahoma. He has two bedroom suites, a couch, chairs, refrigerator, stereo and television in Oklahoma. In Texas, he has a television, computer, stereo, workstation, chair, ottoman and gunsafe.
The Debtor has made substantial improvements to the property. He has put a new roof on the house, installed a three-car carport, a heat pump and a satellite dish. He has also done some repairs on the property. The Debtor has had continuous utility services to the property since he purchased it in 1991. From his testimony, it is the Debtor's intention for this property to be his home. He is attempting to work out an arrangement where he would be able to work from his home. The Debtor is fifty-three years old and intends to retire on this property. He testified that he filed a claim for homestead in Love County. After the hearing, the Debtor furnished the Court with a copy of his Claim of Homestead Exemption executed January 3, 1994 in Love County.
The Debtor's federal tax returns reflect an address in Texas. The Debtor has never filed Oklahoma tax returns. Texas has no state income tax. The Debtor has two vehicles, a Chrysler New Yorker and Dodge pickup. His New Yorker is tagged in Texas and the pickup is tagged in Georgia. The Debtor has a Texas drivers' license and has never had an Oklahoma drivers' license. The Debtor does his banking in Texas. His mail is sent to a post office box in Dallas, Texas. The Debtor testified that when his bills were sent to Oklahoma, he was getting behind on them. No one else has ever lived on the property and the Debtor has never rented the property. In the last six months, the Debtor has spent ten weekends in Oklahoma because he has been traveling in his new job.
The Debtor filed this bankruptcy proceeding on September 30, 1996. The meeting of creditors was set on November 22, 1996. The Trustee and Aspect filed timely Objections to Exemptions. Rule 4003(b), Fed. R.Bankr.P. Aspect recovered a judgment for conversion in the amount of $5,000 for compensatory damages and $5,000 for punitive damages. As a result, Aspect is a creditor in this bankruptcy proceeding.
The party objecting to the Debtor's exemptions has the burden of proving that the exemptions are not properly claimed. Rule 4003(c), Fed.R.Bankr.P. There is no question that the Oklahoma property became the Debtor's...
To continue reading
Request your trial