The 9th Circuit has certified questions presented in In re Brace to the California Supreme Court. A bankruptcy court held that California property acquired during marriage by California residents as Joint Tenants was community property under California Family Code section 760, and therefore the entire interest was property of the bankruptcy estate, even though only Mr. Brace filed bankruptcy. The Debtor appealed to the BAP, and the BAP affirmed the bankruptcy court. The

The Bankruptcy Appellate Panel for the Ninth Circuit published In re Brace (BAP No. CC 16-1041) on March 15, 2017. A Chapter 7 trustee sought to recover transfers of real estate from one debtor to an irrevocable trust with the non-debtor spouse as the sole beneficiary of the trust. Prior to the transfers, the properties were owned by husband and wife as joint tenants. The trustee argued that despite title presumptions, California marital law determines the property is com