Bankr. L. Rep. P 75,362 in Re William Hall Eleanor Hall, Debtors. James Rigby v. William Hall Eleanor Hall

Trustee James Rigby appeals the district court’s affirmance of the bankruptcy court’s decision that debtors William and Eleanor Hall exempted their residence from the estate. We have jurisdiction under 28 U.S.C. § 158 (d), and we affirm.

I

On December 26, 1985, the Halls petitioned for Chapter 11 bankruptcy and, under a federal statute, claimed a homestead exemption of “all” value in their residence. The residence had a value of $16,539 in excess of secured debt. Years later, the case was converted to Chapter 7, and the Halls amended the claim. They again claimed as exempt “all” value in the residence, but this time under a Washington statute. As of the conversion date, the residence had a value of approximately $98,000 in excess of secured debt. The trustee objected within 30 days after the Chapter 7 meeting of creditors, arguing the residence was valuable property of the estate. The bankruptcy court overruled the objection, stating the Halls had exempted the residence while in Chapter 11.

We independently review the bankruptcy court’s decision. Ragsdale v. Haller, 780 F.2d 794, 795 (9th Cir.1986). We review findings of fact for clear error and conclusions of law de novo.…