Testing The Limits Of Fraudulent Conveyance Law

Law360, New York (November 4, 2008, 12:00 AM EST) -- Typically, a fraudulent conveyance involves a transfer for no consideration or for less than the reasonably equivalent value of the asset transferred in detriment of the rights of a creditor of the transferor.

The novelty in a recent case, ASARCO LLC v. Americas Mining Company (Civil No. 1:07-CV-00018, U. S. District Court for the Southern District of Texas), is that, despite finding that a purchaser paid reasonable equivalent value for the asset of an insolvent company, the court held that the purchaser received a fraudulent transfer...
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