Is There Florida Homestead Protection in Canadian Bankruptcy

A Canadian man called me to discuss a bankruptcy he filed in Canada. The gentleman owned a parcel of real property on the west coast of Florida. He asked me if the property would be exempt from his Canadian bankruptcy proceeding under Florida’s homestead laws. He said he lived in Florida half the year, and that the house was his primary U.S. residence.

I told him his Florida property would not be protected in his Canadian bankruptcy for several reasons. He cannot get Florida homestead protection because he is a resident of Canada, and not a resident of the U.S. or Florida. Assuming Canadian bankruptcy laws are similar to U.S. laws, the bankruptcy court would have jurisdiction over the Florida property as bankruptcy captures all of the debtor’s assets regardless of their location anywhere in the world. If he tried to claim the property as Florida homestead, he could not file bankruptcy in Canada as his primary residence would be in the U.S.

posted by Jonathan Alper, bankruptcy and asset protection lawyer, Orlando, Florida