In re Val James Simon and Katherine Lois Simon

I. INTRODUCTION

Debtors Val James Simon (“Val Simon”) and Katherine Lois Simon (“Katherine Simon”) (collectively, “Debtors” or “Appellants”) filed for chapter 7 bankruptcy on December 26, 2017. In the same proceeding, Debtors claimed an exemption in the proceeds from a petition settlement (“Exemption”). Creditor Jamie Taylor (“Taylor’’) objected to the Exemption (“Objection”). The bankruptcy court sustained Taylor’s Objection. Debtors now appeal the bankruptcy court’s Order Sustaining Objection to Exemption (“Order”). For the following reasons, the Court AFFIRMS the bankruptcy court’s Order. Il. JURISDICTIONAL BASIS The Court has jurisdiction over this Appeal pursuant to 28 U.S.C. § 158(a). Il. FACTUAL BACKGROUND Val Simon states that he is 58 years old and has been disabled from various injuries resulting from rheumatoid arthritis since 1986. On September 4, 2014, Val Simon was in car accident that resulted in a personal injury settlement (“Settlement”). After the car accident, Debtors declare that Val Simon’s existing knee issues worsened, resulting in several knee surgeries and infections. Today, “Val has essentially had no left knee.” He uses a wheelchair for…