A frequent asset protection question is whether engaging in a transfer of assets later found to be a fraudulent conveyance subjects the debtor to an award of additional damages. Neither the Florida Statutes, nor case law, provides that a creditor can add damages to the amount of its underlying judgment for damages because the debtor attempts to transfer or convert assets to avoid collection of the judgment. On the other hand a relatively unknown statute provides that a fraudulent conveyance can trigger a creditor’s right to collect attorneys fees.As a general rule, a creditor cannot collect attorneys fees spent to collect a money judgment. However, Florida Statute 57.115 provides that a court may, but is not required to, award attorney fees a creditor incurs in connection with execution on a judgment especially when the court finds the debtor attempted to avoid or evade payment of the judgment. A fraudulent conveyance after or soon before a judgment is entered provides a good basis for the creditor to seek attorneys fees to undo the fraudulent conveyance and to collect the money judgment.
You May Be Interested In:
Florida Residency
Florida Residency Requirements There are no set Florida residency requirements to become a Florida resident for asset protect purposes. To…
Florida Homestead Law
Florida Homestead Law Explained Florida homestead law protects a Florida resident’s primary home from levy and execution by their judgment…
Florida Exemptions from Creditors
What Assets are Exempt from Creditors? Florida exemptions from creditors are the specific categories of property and income that Florida…
Tenants by the Entirety in Florida
What is a Tenancy by the Entirety? Tenancy by the entirety is a form of joint property ownership in some…
FUTMA, ITF, and Gift Accounts
Florida UTMA Accounts The most common method of gifting assets to a minor child is through a FUTMA, or Florida…
Florida LLC Asset Protection
Single Member LLC vs Multi-Member LLC in Florida A single member LLC is not a protected asset in Florida. But…
Offshore Planning
Many people first think of offshore planning when they consider Florida asset protection planning. Many books have been published and many…
Offshore Trust
What is an Offshore Asset Protection Trust? Offshore asset protection is a legal, effective strategy that involves forming a trust…
Nevis LLC for Offshore Asset Protection
A Nevis LLC is a limited liability company established Nevis, W.I. for asset protection purposes. In general, a limited liability…
Florida Financial Planning
Financial planning and asset protection in Florida refers to using financial tools in addition to, or in place of, legal…
Florida Asset Protection Trust
What is an Asset Protection Trust? A Florida asset protection trust is a trust agreement established and written by a…
Fraudulent Conveyance and Fraudulent Transfers
What is a Fraudulent Conveyance? A fraudulent conveyance, or fraudulent transfer, in Florida is a debtor’s transfer of legal title…
Florida LLC Operating Agreement
What is an LLC Operating Agreement? A Florida LLC operating agreement is a written agreement between owners, or members, of…
Fraudulent Transfer Presentation
At the Florida Bar’s Annual Wealth Protection Seminar, in Miami Florida, attorney Jonathan Alper presented, “Where Does Florida Law Stand…
Florida Business Asset Protection
Business asset protection is the arrangement of business assets in a way that make it difficult for a judgment creditor…
How to Protect Your Bank Account from Garnishment
How to Protect Your Bank Account from Creditors To protect your bank account from creditors, you first have to start…
How an Asset Protection Attorney Can Help
An asset protection attorney can help you with the complicated process of asset protection planning. Planning must be legally correct…
Florida Asset Protection Strategies
Asset Protection Strategies to Protect Against Lawsuits Florida asset protection strategies can help shield your assets from potential judgment creditors…
Florida Annuities
The cash value and proceeds from a Florida annuity are exempt under Florida law. Annuities have a long history, dating…
Car Accident Asset Protection
What to Do if Someone Sues You for a Car Accident Nobody ever expects to cause a car accident. But…
Florida Land Trust
A Florida land trust is a private agreement among different people to operate, manage, and hold legal title to Florida…
Real Estate Asset Protection in Florida
Why Asset Protection is Needed for Florida Real Estate Investment Asset protection for real estate investment in Florida is the…
Equity Stripping
What is Equity Stripping? Equity stripping is a relatively new term in asset protection law describing an old asset protection…
