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Earl owns a 120-acre farm in a rural county in Arkansas where he lives with his family as their primary residence. A creditor has obtained a judgment against Earl for an unsecured business debt. How many acres of Earl's farm are protected from the creditor's claim under the Arkansas homestead exemption?

Correct Answer

B) 80 acres, which is the maximum rural homestead exemption under the Arkansas Constitution

Under Ark. Const. Art. 9, §§ 3–6, the rural homestead exemption is capped at 80 acres. Although Earl's farm is 120 acres, only 80 acres can be designated as the protected homestead. The remaining 40 acres are not shielded from the creditor's judgment lien.

Answer Options
A
All 120 acres, because the rural exemption has no acreage limit
B
80 acres, which is the maximum rural homestead exemption under the Arkansas Constitution
C
40 acres, which is the standard rural homestead exemption in Arkansas
D
1/4 acre, because the homestead exemption acreage limit is the same regardless of location

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Related Topics & Key Terms

Key Terms:

homestead_exemptionrural_acreagecreditor_protectionarkansas_constitution

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