Debtors get safety shield for pension

Trial Notebook

By Steven P. Garmisa

Hoey & Farina

Posted July 7, 2015 3:03 PM

Ronald W. Nothdurft and Nancy A. Natterman-Nothdurft had $8,000 in a credit union account — from a state of Illinois pension and Social Security payments — when they petitioned for bankruptcy under Chapter 7.They claimed a $4,000 exemption based on 12-1006 of the Illinois Code of Civil Procedure (which provides an exemption for both “a debtor’s interest in” a retirement plan and the debtor’s “right to receive” pension payments) plus a $4,000 exemption under Section 12-1001(g) …

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