Summary: Ms. Novara deposited a check from her mother for $10,000 into her child's custodial account twenty-seven (27) days prior to filing Chapter 7 bankruptcy. The Trustee sought to set this aside as a fraudulent conveyance and sought summary judgment. To prevail on a motion for summary judgment premised on a fraudulent transfer, pursuant to 11 U.S.C.
Summary: More reasonably equivalent value discussions in the Tanglewood Farms case. Commentary: Not every order granting avoidance of a judgment lien or for relief from the stay on a car are treated as a written opinion, but maybe since these reasonably equivalent value cases are becoming nearly as common, they will stop being treated as such. For a copy of the opinion, please see: Angell v.
Summary: Patricia Pfister and her husband, Phillip Pfister purchased real property on May 10, 2001. Originally, this property was to be purchased by Architectural Glass Construction, Inc. ("AGC"), a corporation wholly owned by Mr. Pfister, but, on the advice of accountants, instead at the closing it was instead purchased and financed by the Pfisters, with the intention of leasing the property to AGC. In practice, however, AGC never paid the Pfisters, but paid the mortgage directly. In 2002, the mortgage was refinanced, with AGC now actually liable for the mortgage note.
Summary: In February 2003, Currie, serving as the executor for the Estate of Della Brown, brought suit against the Poteats, for conversion of funds which were used to purchase their home, filing a notice of lis pendens on March 13, 2003. This action was subsequently voluntarily dismissed without prejudice in open court on September 7, 2004, so that Currie could be re-qualified as the executor of the estate.
Summary: Pursuant to 11 U.S.C. § 548, the Chapter 7 Trustee sought to recover transfers made for the benefit of Bacchus within two years of the bankruptcy filing, arguing that the transfer were a fraudulent conveyance. Bacchus disputed the allegations that the Debtor received less that the reasonably equivalent value, as the payments were for an obligation owed by the debtor to Bacchus’ deceased father for the purchase of grain, which had been stored on the debtor’s property.
Summary: On September 26, 2008, Luther Bateman transferred, subject to retention of a life estate, property located at 106 Sanderline Road, Shawboro, North Carolina to his children, Carol Bateman Cooper, Timothy Ross Bateman, Louis Eugene Bateman, and Robert Charles Bateman (“the Defendants”). On August 4, 2010, Mr. Bateman filed Chapter 7 and valued his life estate in the Property to be approximately $186,000.00, subject to a mortgage in the amount of $15,395.99.
Summary: After consulting with a bankruptcy attorney, the Debtors sold personal property at auction, receiving $14,000 in proceeds. Two days before filing Chapter 7, the Debtors used $12,000 to fund IRAs and the remainder for insurance and vehicle repairs. The Trustee sought to avoid the contributions to the IRAs as fraudulent conveyances. Following, Ford v. Poston, 773 F.2d 52, 54 (4th Cir.
Summary: A few hours prior to a foreclosure sale, 15 parcels of real property were transferred to the Debtors by three corporations owed by the Debtors. The Debtors shortly thereafter filed Chapter 11. BB&T commenced an Adversary Proceeding seeking to avoid the transfers as fraudulent conveyances and because some were made ultra vires and brought a Motion for Summary Judgment. In determining whether a transfer was a fraudulent conveyance the court first turned to the non-exclusive list of factors found in N.C. Gen. Stat.
The Debtor acquired a piece of real property in 2001 solely in his name. In 2007, three months after the Plaintiff/Creditor file a lawsuit against the Debtor, the Debtor transferred the property to himself and his wife as Tenants by the Entireties. Four months later, the Debtor filed Chapter 7. The Plaintiff brought an action against the Debtor under 11 U.S.C.