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Paloian v. LaSalle Bank Natl Assn (In re Doctors Hosp. of Hyde Park)

Paloian v. LaSalle Bank Natl Assn (In re Doctors Hosp. of Hyde Park)

Ruling
Transfers to debtor's creditor by bankruptcy remote special purpose entity while debtor was not insolvent were not avoidable.
Issue(s)
On remand, was a special purpose entity which made transfers to debtor's creditor an alter ego of debtor and was debtor insolvent at the time of the transfers, which would make the transfers avoidable if both conditions were met.

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Commercial opinion summary, case decided on October 04, 2013 , LexisNexis #1113-024