Given the title of this blog and our usual inclinations in takings cases, you would be forgiven for assuming that we’d have a negative review of the Second Circuit’s opinion in 1256 Hurtel Avenue Associates, LLC v. Bulan, No. 12-1603-bk (Aug. 1, 2014), which held that a legislative increase in the size of the homestead exemption — which had the effect of wiping out an existing judgment lien — was not a taking. But before you jump to that conclusion, read on, since we have a couple of nice things to say about the opinion.
In 2005, the New York legislature increased the homestead exemption — which exempts a certain amount from being used to satisfy money judgments — from $10,000 to $50,000. Five years later, the legislature raised it again to $75,000. Good for homeowners, not so good for those to whom homeowners owe money. But these