Case Summary:
A Chapter 7 Debtor who had held title to his parents' house and transferred it to his siblings for no consideration had made a fraudulent transfer under the Uniform Fraudulent Transfer Act. Although he was holding the title for his parents' benefit, he was not holding it in trust for them, and nothing entitled them to an equitable lien against the property. All the elements of a UFTA claim having been met, the Chapter 7 Trustee was entitled to turnover of the property.
Statute/Rule References:
11 U.S.C. § 506(d) -- Lien Valuation and Strip Down
11 U.S.C. § 544 -- Trustee as Lien Creditor
Wis. Stat. § 242 -- Fraudulent Conveyance
Key Terms:
Equitable Liens
Fraudulent Transfer
Lien Stripping
Summary Judgment
Turnover of Property
File:
Judge:
Date:
Friday, March 9, 2007