From the Editor – Property of Estate

By The Honorable William Houston Brown (Retired)

Insurance checks assigned prepetition were not property of estate. The debtors had assigned medical insurance proceeds prepetition to a dialysis clinic, and when those checks were made payable only to the debtors and were received postpetition, the checks did not become property of the estate. The proceeds had been validly assigned, and the debtors were not entitled to claim exemption. In re Napoleon, ________B.R.________, 2016 WL 2893764 (Bankr. E.D. N.C. 2016). Compare United States Trustee v. Ellis, et al. (In re McKeever . . .