Opinion ID: 6983974
Heading Depth: 3
Heading Rank: 2

Heading: The stock “transfers”

Text: The bankruptcy and district courts rested their holdings on their belief that the Blatsteins did not transfer any stock between them because they owned all the corporate stock at all times from their inception as tenants by the entireties. We agree. Pennsylvania defines an “asset” for PUFTA purposes as the “property of a debtor” but not including “an interest in property held in tenancy by the entireties to the extent it is not subject to process by a creditor holding a claim against only one tenant.” 12 Pa. Cons.Stat. Ann. § 5101(b). Thus, if the Blatsteins always owned their corporations as tenants by the entireties, Arch Street’s allegation that Blatstein transferred them to Lori Blatstein to defraud his creditors must fail. We reach this conclusion even in the face of evidence that Blatstein alone provided or arranged for the assets to establish the businesses and that Lori Blatstein did not know that she was a joint owner of the corporations. 4 As the bankruptcy court noted, Pennsylvania law presumes that property titled to a husband and wife is owned by them as tenants by the entireties even if only one spouse paid for the property or even if one spouse was unaware of her ownership of the property. Main II, 213 B.R. at 93 (relying upon In re Estate of Holmes, 414 Pa. 403, 200 A.2d 745, 747 (1964)). Because the Blatsteins always had held their corporate shares as tenants by the entireties, Blatstein never “transferred” any shares to his wife, and thus could not have fraudulently transferred the shares to her. Accordingly, we will affirm the district and bankruptcy courts on this point.