In re Romero

533 B.R. 807, 2015 Bankr. LEXIS 2065, 2015 WL 3929590
CourtUnited States Bankruptcy Court, D. Colorado
DecidedJune 24, 2015
DocketBankruptcy Case No. 15-11254 TBM
StatusPublished
Cited by2 cases

This text of 533 B.R. 807 (In re Romero) is published on Counsel Stack Legal Research, covering United States Bankruptcy Court, D. Colorado primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In re Romero, 533 B.R. 807, 2015 Bankr. LEXIS 2065, 2015 WL 3929590 (Colo. 2015).

Opinion

MEMORANDUM OPINION AND ORDER ON HOMESTEAD EXEMPTION

Thomas B. McNamara, Bankruptcy Judge

Driven by the concept of Manifest Destiny, slogans like “Go West, Young Man,” and the promise of opportunity, pioneers pushed westward even before Colorado became a State. Settlement by homesteading was a central feature of the expansion. Federal and state law encouraged the migration west by offering homesteads — and protecting them. Colorado exempted homesteads from execution in its Constitution and early statutes.

This case presents a modern twist on homesteading. On his bankruptcy Schedule C, the Debtor, Edward J. Romero (the “Debtor”), listed a “1997 Peterbilt truck” as exempt under the Colorado homestead statute. A long-haul truck driver, the Debtor claimed that his semi-truck and its cab (including living quarters) are protected by the homestead exemption. The Chapter 7 Trustee, Kimberley H. Tyson (the “Trustee”) filed an Objection to Claimed Exemption. (Docket No. 15.) The Debtor submitted a Response in opposition. (Docket No. 19.) Now, the Court decides whether the Debtor’s truck is a homestead within the meaning of C.R.S. § 38-41-201(a).

I. Jurisdiction.

The Court has jurisdiction over this matter pursuant to 28 U.S.C. §§ 1334(a), [809]*809(b), and (e). This dispute is a core proceeding under 28 U.S.C. § 157(b)(2)(A), (B), and (0) since it involves an objection to the Debtor’s claimed exemption from property of the estate and the administration of his estate.

II. Procedural Background.

The Debtor filed for protection under Chapter 7 of the Bankruptcy Code, on February 12, 2015. He owns no real property. On his Schedule B (Personal Property),1 the Debtor listed a 1997 Peterbilt truck (the “Peterbilt Truck”),2 which he valued at $45,000. On Schedule C, the Debtor claimed an exemption in the Peter-bilt Truck in the amount of $45,000 pursuant to the Colorado homestead statute, C.R.S. § 38-41-201(a). The Trustee objected to the Debtor’s claim of exemption. She argues that the Peterbilt Truck is not a homestead under C.R.S. § 38-41201(a). The Debtor filed his Response and alleges that the Peterbilt Truck is his home and properly subject of exemption. The Court held a non-evidentiary hearing and an evi-dentiary hearing on the dispute on May 26, 2015, and June 10, 2015, respectively. The Debtor testified at the evidentiary hearing.

III. Findings of Fact.

On the basis of the evidence presented at the June 10, 2015 hearing, the Court makes the following findings of fact:

The Debtor owns the Peterbilt Truck. It is worth $45,000. The Peterbilt Truck has a Caterpillar-brand engine, a steering axle, and two drive axles. It is almost 14 feet long. The Peterbilt Truck is a commercial vehicle designed to be driven on the road and to tow a trailer to haul goods. It is. not designed to be installed in a permanent or semipermanent location and is not affixed to any real property.

The Debtor is an independent, long-haul truck driver who works for himself under the business name Romero Transportation, Inc. The Peterbilt Truck is critical to the Debtor’s trucking business and is driven on the road regularly. The Debtor drives the Peterbilt Truck approximately 20 to 25 days per month throughout the country. Since most of the Debtor’s business is outside of Colorado, the Debtor and the Peterbilt Truck typically are in Colorado only four or five days each month.

The Debtor lives in the Peterbilt Truck. Behind the driving compartment of the Peterbilt Truck is a fairly large cab which serves as the Debtor’s principal living and sleeping quarters. The cab has a bed, microwave oven, toaster, coffee pot, refrigerator, laser printer, television, light, and vacuum. In addition to food and water, the Debtor also neatly stores his clothes, laundry, and sundry items in a dozen plastic boxes mainly located in a small loft above the bed. A self-contained portable toilet rounds out the cab’s equipment. The Debtor’s dog lives with him in a small kennel near the bed. The Peterbilt Truck has a 12-volt generator to provide electricity, heat, and air-conditioning when the vehicle is parked.

The Debtor spends almost all of his evenings living in the Peterbilt Truck when on the road. Often, he parks at truck stops overnight. When he is not on the road, the Debtor usually stays in the Peterbilt Truck while it is parked in a [810]*810commercial area near Windsor, Colorado. Sometimes, he spends nights with Mends or family in their homes. The Debtor did own a house which was sold sometime before the bankruptcy case was filed. However, he did not live there; he rented it to a Mend. When the house was sold, the proceeds were used to rebuild the engine of the Peterbilt Truck. The Debtor does rent a small room, approximately 6 feet by 8 feet, from his son. The room is used as an office for the Debtor’s trucking business. It does not have a bed. The Debtor does not sleep in the office.

The Court finds that the Debtor has been living on the Peterbilt Truck since approximately 1998. The Debtor considers the Peterbilt Truck to be his home.

IV. Legal Discussion.

The issue presented in this dispute is important to the Debtor. There is no doubt that the Debtor primarily lives in the Peterbilt Truck and considers it his home. The Peterbilt Truck also is integral to the Debtor’s future plans. Without the Peterbilt Truck, the Debtor will have no way of continuing as an independent, long-haul trucker: he will be a trucker without a truck.

Equity suggests that the Debtor be allowed to keep his source of shelter and income. However, under the Bankruptcy Code, the Trustee is obligated to “collect and reduce to money property of the estate ...” for the benefit of creditors. 11 U.S.C. § 704. The Peterbilt Truck is “property of the estate” under 11 U.S.C. § 541(a), subject to a possible exemption.

As this issue has been presented to the Court, the only real question is whether the Peterbilt Truck qualifies as a homestead under Colorado law so that it is exempt from turnover to the Trustee. Upon careful review of the facts and applicable law, the Court has come to the conclusion that the Peterbilt Truck is not an exempt Colorado homestead.3

A. Choice of Law and Burden of Proof

The commencement of a bankruptcy case creates an estate that includes “all legal or equitable interests of the debtor in property.” 11 U.S.C. § 541(a). However, a debtor may exempt certain property from the bankruptcy estate. 11 U.S.C. § 522(b); see also Kulp v. Zeman (In re Kulp), 949 F.2d 1106, 1107 (10th Cir.1991).

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Tiffany Panitzke
D. Colorado, 2025
In re Galvin
583 B.R. 262 (D. Colorado, 2018)

Cite This Page — Counsel Stack

Bluebook (online)
533 B.R. 807, 2015 Bankr. LEXIS 2065, 2015 WL 3929590, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-romero-cob-2015.