Fraudulent Transfers

A client asked me whether it was harder for a future creditor to challenge a fraudulent transfer or a fraudulent conversion. A fraudulent transfer is a debtor’s conveyance of an asset to another person with the intent to protect the asset from a judgment creditor. An example of a transfer is deeding real estate to …

Fraudulent Conversions Shorter Statute of LimitationsRead More

Collection of money judgments is conducted through proceedings supplementary under Florida Statute 56.29. The proceedings supplementary statutes include procedures to remedy the debtor’s fraudulent transfers of personal property.  (56.29 (3). Fraudulent transfers are also addressed under a separate statute, Section 726.105. Section 726.110 imposes a four year statute of limitations on fraudulent transfer actions brought …

Fraudulent Transfers Remedy Under Proceedings SupplementaryRead More

A client asked me if transferring money to an offshore bank account after a creditor filed a collection lawsuit is a fraudulent transfer. Not all actions to protect assets from known creditors fall withing the scope of the fraudulent transfer statues. To the point, moving the location of an asset is not the same as …

Is Transfer of Money To Foreign Bank Account A Fraudulent Transfer?Read More

Florida law limits creditor remedies for fraudulent transfers. A court may reverse a transfer but it may not impose additional damages against a debtor simply because the debtor transferred property to avoid the judgment. The law does not prohibit damages against a transferee who is not the debtor. The recipient of a fraudulent conveyance is …

Money Damages Against Recipient of Fraudulent TransferRead More

Florida law limits creditor remedies for fraudulent transfers. A court may reverse a transfer but it may not impose additional damages against a debtor simply because the debtor transferred property to avoid the judgment. The law does not prohibit damages against a transferee who is not the debtor. The recipient of a fraudulent conveyance is …

Judgment Against Intermediary of Fraudulent TransferRead More

Florida residents who conduct business in other states may find themselves subject to the courts and the laws of the foreign state. Specifically, a court in another state that issues a money judgment against a Florida resident who did business in that state can enforce fraudulent transfer laws and remedies in the foreign state. Many …

Court Awards Punitive Damages For Fraudulent TransfersRead More

Often, a debtor will own an interest in real estate or business corporation/LLC that has no present value, but which the debtor anticipates will some day be worth significant money. Examples are upside down real estate or a start up business. These assets may be transferred to protect the anticipated future value from creditors even …

Transfer Of Zero Value Stock Cannot Be Challenged As FraudulentRead More

An attorney called for help collecting a debt. The debtor had owned a piece of commercial property in a revocable living trust that had been established as part of an estate plan. The trust provided that the property would pass to the debtor’s children after her death. This attorney on behalf of her client filed …

Trust Amendment Can Be Fraudulent TransferRead More

A debtor’s transfer of non-exempt cash to avoid collection of a judgment can be reversed as a fraudulent transfer. The fraudulent transfer issue often arises when a debtor deposits money in to a bank account owned tenants by entireties. In many cases, a married debtor maintains all his financial accounts jointly with his non-debtor spouse. …

Is Debtor’s Separate Money In To An Entireties Bank A Fraudulent Transfer?Read More