Setoff Can’t Be Raised as a Defense to Receipt of a Fraudulent Transfer

The Madoff case makes more law: A claim against a bankrupt estate can’t be set off against liability for receipt of a fraudulent transfer because one arose before bankruptcy and the other arose after.

Judge Kathryn Ferguson Evokes Bob Dylan with Regard to Changing Rules on Setoff

Times are a-changin’ when it comes to setoff against exempt assets.