For many pet owners, dogs are members of the family. So, when financial difficulties arise and bankruptcy becomes a consideration, worrying about what will happen to your loyal companion is natural. Will the bankruptcy court take your dog away?
Pets are “property” in bankruptcy
In Chapter 7 bankruptcy, debtors may need to sell some assets to pay creditors. The law considers pets as personal property, meaning you must disclose your dog as an asset when filing bankruptcy paperwork.
The good news is that most dogs have little monetary value in bankruptcy proceedings. Courts recognize that pets often cost more to care for than they are worth financially. In most cases, bankruptcy trustees will not pursue selling your dog to pay creditors.
You can still keep your beloved pet
Florida law provides several exemptions that can protect your assets in bankruptcy. While there is no specific exemption for pets, you can often use the general personal property exemption to keep your dog. The law allows you to exempt up to $1,000 in personal property (or $4,000 if you do not use the homestead exemption).
Courts occasionally take interest in cases involving dogs of exceptional value, such as purebred show dogs, breeding dogs, or service dogs with extensive training. Even in these cases, you may still be able to keep your dog by using exemptions or negotiating an arrangement with the trustee.
To protect your interests and your pet, it is best to obtain advice from a qualified bankruptcy attorney in Florida. This approach can help ensure your dog remains part of your life as you recover from financial hardships.
