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Fraudulent Transfers

First Circuit Starkly Holds that Tuition for an Adult Child Is a Fraudulent Transfer

The case in the appeals court apparently did not involve a student account structured to prevent the college from being the initial recipient of a fraudulent transfer.
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First and Second Circuits Agree: Trustees Alone May Sue Ponzi Scheme Net Winners

Rulings by the First and Second Circuits ensure that recoveries by a Ponzi scheme trustee will be distributed to all victims, not just those who sue on their own.
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To Sue a Subsequent Transferee, Proving a Fraudulent Transfer Isn’t Always Required

A subsequent transferee may be entitled to challenge a fraudulent transfer judgment from a prior suit against the initial transferee.

May a Trustee Recover Proceeds from Fraudulently Transferred Property?

Courts disagree on whether a trustee may recover proceeds of a fraudulent transfer from a later transferee, not only the fraudulently transferred property itself.
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Chapter 7 Debtor’s Counsel Permitted to Defend Creditors in Avoidance Suits

Bankruptcy Judge Carol A. Doyle parses the limited duties of a chapter 7 debtor to the estate.

Second Circuit Defines a Prohibited Double Recovery on Fraudulent Transfers

There is no prohibited double recovery from multiple defendants, the appeals courts says, until the trustee has recovered cash equaling the value of the fraudulently transferred property.
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