I represent an individual, Client X from Country Y.
In Country Y, Person X enjoys both a homestead and pension exemption under that country’s bankruptcy laws.
However, when Person Y, who is both a U.S. citizen and citizen of Country X, files for bankruptcy in the U.S., the foreign bankruptcy exemptions will be held not to apply.
I think this is wrong for reasons I’ll explain in a follow-up post.
In the meantime, what do you think?