In the State of Tennessee, a debtor may claim exemption of his homestead and certain personal property from attachment and execution of a judgment, or in a bankruptcy proceeding.
A judgment debtor usually is entitled to a homestead exemption upon real property from execution, attachment, or sale under legal proceedings during his life, to the extent of of $5,000.00 in aggregate value, or $7,500.00 for joint owners, so long as the real property is occupied by the judgment debtor or both joint owners as their residence. If only one joint owner occupied the premises as his residence, the homestead exemption may not exceed $5,000.00. Upon the death of an individual who is head of a family, any such exemption shall inure to the benefit of the surviving spouse and their minor children for as long as the spouse or the minor children use such property as a principal place of residence.
Personal property which may be exempt from execution, seizure or attachment may include any items of his owned and possessed personal property, including money and funds on deposit with a bank or other financial institution, up to the aggregate value of four thousand dollars ($4,000). A judgment debtor is entitled to an absolute exemption of all necessary and proper wearing apparel for the actual use of himself and family and the trunks or receptacles necessary to contain same, all family portraits and pictures, and the family Bible and school books. Other exemptions to which a judgment debtor may be entitled may include state pension funds, retirement funds qualified under Sections 401(a), 403(a), 403(b), and 408 of the federal Internal Revenue Code of 1986, as amended, accident, health, or disability insurance insuring the assured against loss by reason of accidental personal injuries, or insuring the assured against loss by reason of physical disability resulting from disease (26-2-110), social security benefits, veteran's benefits, disability, illness, or unemployment benefit.
In a bankruptcy, the citizens of Tennessee are not authorized to claim as exempt the property described in the Bankruptcy Reform Act of 1978, 11 USC 522 (d) pursuant to section 522 (b) (1), Public Law 95-598 known as the Bankruptcy Reform Act of 1978, Title 11 USC, section 522 (b) (1).
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