Source: https://voidabletransactions.com/pennsylvania-voidable-transaction-uvta-fraudulent-transfer-ufta.html
Timestamp: 2020-06-06 22:40:46
Document Index: 436562381

Matched Legal Cases: ['§ 5101', '§ 5101', '§ 5102', '§ 5103', '§ 5104', '§ 5105', '§ 5106', '§ 5108', '§ 9620', '§ 9620', '§ 5109', '§ 5110', '§ 5111', '§ 5112', '§ 5113', '§ 5114', '§ 7001']

Pennsylvania Voidable Transaction UVTA Fraudulent Transfer UFTA
Pennsylvania Uniform Voidable Transactions Act
Pennsylvania UVTA a/k/a PUVTA
12 Pa.Stat. §§ 5101 - 5114
5101. Short title of chapter and definitions.
5102. Insolvency.
5103. Value.
5104. Transfer or obligation voidable as to present or future creditor.
5105. Transfer or obligation voidable as to present creditor.
5106. When transfer is made or obligation is incurred.
5107. Remedies of creditor.
5108. Defenses, liability and protection of transferee or obligee.
5109. Extinguishment of claim for relief.
5110. Governing law.
5111. Application to series organization.
5112. Supplementary provisions.
5113. Uniformity of application and construction.
5114. Relation to Electronic Signatures in Global and National Commerce Act.
§ 5101. Short title of chapter and definitions.
(a) Short title of chapter.--This chapter, that was formerly cited as the Pennsylvania Uniform Fraudulent Transfer Act, shall be known and may be cited as the Pennsylvania Uniform Voidable Transactions Act.
(b) Definitions.--The following words and phrases when used in this chapter shall have the meanings given to them in this subsection unless the context clearly indicates otherwise:
"Asset." Property of a debtor. The term does not include:
"Claim." Except as used in "claim for relief," a right to payment, whether or not the right is reduced to judgment, liquidated, unliquidated, fixed, contingent, matured, unmatured, disputed, undisputed, legal, equitable, secured or unsecured.
"Creditor." A person that has a claim.
"Debt." Liability on a claim.
"Debtor." A person that is liable on a claim.
"Electronic." Relating to technology having electrical, digital, magnetic, wireless, optical, electromagnetic or similar capabilities.
"Lien." A charge against or an interest in property to secure payment of a debt or performance of an obligation. The term includes a security interest created by agreement, a judicial lien obtained by legal or equitable process or proceedings, a common law lien or a statutory lien.
"Organization." A person other than an individual.
"Person." An individual, partnership, estate, business or nonprofit entity, public corporation, government or governmental subdivision, agency, trust or instrumentality or other legal entity.
"Property." Anything that may be the subject of ownership.
"Sign." With present intent to authenticate or adopt a record:
(2) to attach to or logically associate with the record an electronic symbol, sound or process.
"Transfer." Every mode, direct or indirect, absolute or conditional, voluntary or involuntary, of disposing of or parting with an asset or an interest in an asset. The term includes payment of money, release, lease, license and creation of a lien or other encumbrance.
"Valid lien." A lien that is effective against the holder of a judicial lien subsequently obtained by legal or equitable process or proceedings.
§ 5102. Insolvency.
(a) General rule.--A debtor is insolvent if, at fair valuation, the sum of the debtor's debts is greater than the sum of the debtor's assets.
(b) Presumption of insolvency.--A debtor that is generally not paying the debtor's debts as they become due other than as a result of a bona fide dispute is presumed to be insolvent. The presumption imposes on the party against which the presumption is directed the burden of proving that the nonexistence of insolvency is more probable than its existence.
(c) Exclusion of certain assets.--Assets under this section do not include property that has been transferred, concealed or removed with intent to hinder, delay or defraud creditors or that has been transferred in a manner making the transfer voidable under this chapter.
(d) Exclusion of certain debts.--Debts under this section do not include an obligation to the extent it is secured by a valid lien on property of the debtor not included as an asset.
(e) Exclusion of certain debts.--((e) relettered to (d)).
§ 5103. Value.
(a) General rule.--Value is given for a transfer or an obligation if, in exchange for the transfer or obligation, property is transferred or an antecedent debt is secured or satisfied, but value does not include an unperformed promise made otherwise than in the ordinary course of the promisor's business to furnish support to the debtor or another person.
(b) Reasonably equivalent value.--For the purposes of sections 5104(a)(2) (relating to transfer or obligation voidable as to present or future creditor) and 5105 (relating to transfer or obligation voidable as to present creditor), a person gives reasonably equivalent value if the person acquires an interest of the debtor in an asset pursuant to a regularly conducted, noncollusive foreclosure sale or the exercise of a power of sale for the acquisition or disposition of the interest of the debtor upon default under a mortgage, deed of trust or security agreement or pursuant to a regularly conducted, noncollusive execution sale.
§ 5104. Transfer or obligation voidable as to present or future creditor.
(a) General rule.--A transfer made or obligation incurred by a debtor is voidable as to a creditor, whether the creditor's claim arose before or after the transfer was made or the obligation was incurred, if the debtor made the transfer or incurred the obligation:
(b) Certain factors.--In determining actual intent under subsection (a)(1), consideration may be given, among other factors, to whether:
(c) Burden of proof.--A creditor making a claim for relief under subsection (a) has the burden of proving the elements of the claim for relief by a preponderance of the evidence.
§ 5105. Transfer or obligation voidable as to present creditor.
(a) General rule.--A transfer made or obligation incurred by a debtor is voidable as to a creditor whose claim arose before the transfer was made or the obligation was incurred if the debtor made the transfer or incurred the obligation without receiving a reasonably equivalent value in exchange for the transfer or obligation and the debtor was insolvent at that time or the debtor became insolvent as a result of the transfer or obligation.
(b) Burden of proof.--Subject to section 5102(b) (relating to insolvency), a creditor making a claim for relief under subsection (a) has the burden of proving the elements of the claim for relief by a preponderance of the evidence.
§ 5106. When transfer is made or obligation is incurred.
(ii) with respect to an asset that is not real property or that is a fixture, when the transfer is so far perfected that a creditor on a simple contract cannot acquire a judicial lien otherwise than under this chapter that is superior to the interest of the transferee.
(2) If applicable law permits the transfer to be perfected as provided in paragraph (1) and the transfer is not so perfected before the commencement of an action for relief under this chapter, the transfer is made immediately before the commencement of the action.
§ 5108. Defenses, liability and protection of transferee or obligee.
(a) Certain transfers or obligations not voidable.--A transfer or obligation is not voidable under section 5104(a)(1) (relating to transfer or obligation voidable as to present or future creditor) against a person that took in good faith and for a reasonably equivalent value given the debtor or against any subsequent transferee or obligee.
(b) Judgment for certain voidable transfers.--To the extent a transfer is avoidable in an action by a creditor under section 5107(a)(1) (relating to remedies of creditor), the following rules apply:
(1) Except as otherwise provided in this section, the creditor may recover judgment for the value of the asset transferred, as adjusted under subsection (c), or the amount necessary to satisfy the creditor's claim, whichever is less. The judgment may be entered against:
(B) an immediate or mediate good faith transferee of a person described in clause (A).
(2) Recovery under section 5107(a)(1) or (b) of or from the asset transferred or its proceeds, by levy or otherwise, is available only against a person described in paragraph (1).
(c) Measure of recovery.--If the judgment under subsection (b) is based upon the value of the asset transferred, the judgment must be for an amount equal to the value of the asset at the time of the transfer, subject to adjustment as the equities may require.
(d) Rights of good faith transferee or obligee.--Notwithstanding voidability of a transfer or an obligation under this chapter, a good faith transferee or obligee is entitled, to the extent of the value given the debtor for the transfer or obligation, to:
(e) Certain transfers not voidable.--A transfer is not voidable under section 5104(a)(2) or 5105 (relating to transfer or obligation voidable as to present creditor) if the transfer results from:
(2) enforcement of a security interest in compliance with 13 Pa.C.S. Div. 9 (relating to secured transactions), other than an acceptance of collateral in full or partial satisfaction of the obligations it secures under 13 Pa.C.S. § 9620 (relating to acceptance of collateral in full or partial satisfaction of obligation; compulsory disposition of collateral).
The references to 13 Pa.C.S. Div. 9 and 13 Pa.C.S. § 9620 in paragraph (2) shall also be deemed to refer to the corresponding provisions of the Uniform Commercial Code as in effect in any other jurisdiction.
(f) Burden of proof.--The following rules determine the burden of proving matters referred to in this section:
(1) A party that seeks to invoke subsection (a), (d) or (e) has the burden of proving the applicability of that subsection.
(g) Standard of proof.--The standard of proof required to establish matters referred to in this section is preponderance of the evidence.
§ 5109. Extinguishment of claim for relief.
(1) under section 5104(a)(1) (relating to transfer or obligation voidable as to present or future creditor), not later than four years after the transfer was made or the obligation was incurred or, if later, not later than one year after the transfer or obligation was or could reasonably have been discovered by the claimant; or
(2) under section 5104(a)(2) or 5105(a) (relating to transfer or obligation voidable as to present creditor), not later than four years after the transfer was made or the obligation was incurred.
§ 5110. Governing law.
(a) Location of debtor.--In this section, the following rules determine a debtor's location:
(2) A debtor that is an organization and has only one place of business is located at the organization's place of business.
(3) A debtor that is an organization and has more than one place of business is located at the organization's chief executive office.
(b) Governing law.--A claim for relief in the nature of a claim for relief under this chapter is governed by the local law of the jurisdiction in which the debtor is located when the transfer is made or the obligation is incurred.
§ 5111. Application to series organization.
(a) Separate person.--A series organization and a protected series of the series organization is a separate person for purposes of this chapter, even if for other purposes a protected series is not a person separate from the series organization or other protected series of the series organization.
"Protected series." An arrangement, however denominated, created by a series organization that, pursuant to the law under which the series organization is organized, has the characteristics specified for a series organization.
"Series organization." An organization that, pursuant to the law under which the organization is organized, has the following characteristics:
(1) The organic record of the organization provides for creation by the organization of one or more protected series, however denominated, with respect to specified property of the organization, and for records to be maintained for each protected series that identifies the property of or associated with the protected series.
(3) Debt incurred or existing with respect to the activities or property of the organization is enforceable against the property of the organization only and not against the property of or associated with a protected series of the organization.
§ 5112. Supplementary provisions.
§ 5113. Uniformity of application and construction.
§ 5114. Relation to Electronic Signatures in Global and National Commerce Act.
This chapter modifies, limits or supersedes the Electronic Signatures in Global and National Commerce Act (Public Law 106-229, 15 U.S.C. § 7001 et seq.), but does not modify, limit or supersede section 101(c) of the Electronic Signatures in Global and National Commerce Act or authorize electronic delivery of a notice described in section 103(b) of the Electronic Signatures in Global and National Commerce Act.