33-204. Transfers fraudulent as to present and future creditors.
33-204
33-204. Transfers fraudulent as to present andfuture creditors.(a) A transfer made or obligation incurred by a debtor isfraudulent as to a creditor, whether the creditor's claim arose before or afterthe transfer was made or the obligation was incurred, if the debtor made thetransfer or incurred the obligation:
(1) With actual intent to hinder, delay or defraud any creditor of thedebtor; or
(2) without receiving a reasonably equivalent value in exchange for thetransfer or obligation, and the debtor:
(A) Was engaged or was about to engage in a business or a transaction forwhich the remaining assets of the debtor were unreasonably small in relation tothe business or transaction; or
(B) intended to incur, or believed or reasonably should have believed thatsuch debtor would incur, debts beyond such debtor's ability to pay as theybecame due.
(b) In determining actual intent under subsection (a)(1), consideration maybe given, among other factors, to whether:
(1) The transfer or obligation was to an insider;
(2) the debtor retained possession or control of the property transferredafter the transfer;
(3) the transfer or obligation was disclosed or concealed;
(4) before the transfer was made or obligation was incurred, the debtor hadbeen sued or threatened with suit;
(5) the transfer was of substantially all the debtor's assets;
(6) the debtor absconded;
(7) the debtor removed or concealed assets;
(8) the value of the consideration received by the debtor was reasonablyequivalent to the value of the asset transferred or the amount of theobligation incurred;
(9) the debtor was insolvent or became insolvent shortly after the transferwas made or the obligation was incurred;
(10) the transfer occurred shortly before or shortly after a substantialdebt was incurred; and
(11) the debtor transferred the essential assets of the business to a lienorwho transferred the assets to an insider of the debtor.
History: L. 1998, ch. 13, § 4; Jan. 1, 1999.