Skip to main content

§ 550(b)

Moser v. Najafi (In re Goushey)

Jun
17
2011
Ruling
Transferee who received undisclosed settlement check from debtor's lawyer, delivered by debtor, was an initial transferee and transfer could be avoided.
Procedural posture

Trustee brought an adversary proceeding against defendant transferee of funds from a bankruptcy debtor to satisfy a debt of the debtor's former spouse, seeking to recover the funds as an unauthorized postpetition transfer of estate property from the debtor's undisclosed settlement of a lawsuit. The trustee and the transferee cross-moved for summary judgment.

ABI Membership is required to access the full summary of Moser v. Najafi (In re Goushey) Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

Consumer opinion summary, case decided on June 17, 2011 , LexisNexis #0811-028
LexisNexis Article
Learn More

Goldman v. Capital City Mortgage Corp. (In re Nieves)

Jun
10
2011
Ruling
Bankruptcy court properly avoided transfer that transferee, who was willfully ignorant of voidability, did not take in good faith.
Procedural posture

Chapter 7 trustee obtained consent orders avoiding initial and second transfers of the debtor's property, and after trial, obtained a judgment avoiding a third transfer to defendant mortgagee on a finding that it did not show it took for value, in good faith, and without knowledge of the voidability of the transfer under 11 U.S.C.S. § 550(b). The U.S. District Court for the District of Maryland affirmed. The mortgagee appealed.

ABI Membership is required to access the full summary of Goldman v. Capital City Mortgage Corp. (In re Nieves) Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

Court :
Judge or Jurisdiction information not available
Consumer opinion summary, case decided on June 10, 2011 , LexisNexis #0711-021
LexisNexis Article
Learn More

Kapila v. IRS (In re ATM Fin. Servs. LLC)

Mar
01
2011
Ruling
Fraudulent transfer by debtor Ponzi scheme operator to IRS on behalf of second company it owned could not be avoided as IRS was not the initial transferee.
Procedural posture

Plaintiff Chapter 7 trustee filed a complaint against defendant, the Internal Revenue Service (IRS), seeking to avoid an alleged fraudulent transfer from a debtor to the IRS pursuant to 11 U.S.C.S. § 548. The trustee filed two motions for partial summary judgment. In response, the IRS filed a cross motion for summary judgment, raising the good faith defense provided to secondary or intermediate transferees under 11 U.S.C.S. § 550(b).

ABI Membership is required to access the full summary of Kapila v. IRS (In re ATM Fin. Servs. LLC) Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

Consumer opinion summary, case decided on March 01, 2011 , LexisNexis #0311-129
LexisNexis Article
Learn More

CLC Creditors Grantor Trust v. Howard Savings Bank (In re Commercial. Loan Corp.)

Apr
29
2010
Ruling
Constructively fraudulent transfer for value accepted in good faith was not avoidable.
Procedural posture

Creditors' trust brought an adversary proceeding against defendant transferees of funds from a bankruptcy debtor alleging that the transfer of funds to the transferees as payment for stock in the debtor constituted an avoidable fraudulent transfer. The transferees admitted that the transfer was constructively fraudulent but asserted a defense under 11 U.S.C.S. § 550(b)(1) based on taking the transfer in good faith.

ABI Membership is required to access the full summary of CLC Creditors Grantor Trust v. Howard Savings Bank (In re Commercial. Loan Corp.) Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

Commercial opinion summary, case decided on April 29, 2010 , LexisNexis #0710-035
LexisNexis Article
Learn More

Alexander v. J. Martin & Assocs. (In re Terry Mfg. Co.)

Feb
20
2007
Ruling
Attorney and investigator paid by debtor's law firm were not liable to trustee as immediate good faith transferees of law firm as initial transferee.
Procedural posture

An indicted officer of debtor company retained a law firm. Per the fee agreement, the law firm was to be paid a flat fee plus an investigator fee. The law firm brought in another attorney (not a member of the law firm). The law firm paid both the attorney and investigator (defendants) for services rendered. Plaintiff bankruptcy trustee sought to recover the payments to defendants as fraudulent conveyances. Defendants moved for summary judgment.

ABI Membership is required to access the full summary of Alexander v. J. Martin & Assocs. (In re Terry Mfg. Co.) Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

opinion summary, case decided on February 20, 2007 , LexisNexis #0407-068
LexisNexis Article
Learn More

Alberts v. HCA Inc. (In re Greater Southeast Cmty. Hosp. Corp.)

Jan
18
2007
Ruling
Transferee pursuant to asset purchase agreement for subsidiary debtor which provided for setoff of funds was initial transferee from which trustee could recover.
Procedural posture

In a jointly administered chapter 11 proceeding, plaintiff, a liquidating trustee for debtors, brought an adversary action against defendant transferees seeking to recover transfers under the Illinois Uniform Fraudulent Transfer Act, 740 Ill. Comp. Stat. 160/1 et seq., pursuant to 11 U.S.C. § 544. One transferee filed a motion for summary judgment as to all counts against it in the trustee's third amended complaint.

ABI Membership is required to access the full summary of Alberts v. HCA Inc. (In re Greater Southeast Cmty. Hosp. Corp.) Please sign in if you are already an ABI member, or otherwise you may Become an ABI Member

opinion summary, case decided on January 18, 2007 , LexisNexis #0307-101
LexisNexis Article
Learn More
Subscribe to %1