Type: Amicus
Date: May 7, 2015
Description: Whether Chapter 13 debtors received reasonably equivalent value for property sold at a tax sale conducted in accordance with Illinois law, so that sale was not avoidable under 548(a)(1)(B) as a constructively fraudulent transfer.
Result: District court judgment reversed, bankruptcy court judgment affirmed, January 20, 2016.
Private School Tuition Payments Not Constructively Fraudulent Conveyance
A New York bankruptcy court found that the chapter 7 trustee’s legal theory for recovery of private school tuition payments was “fundamentally flawed” and “at odds with common sense.” Getzler v. Xavierian High School (In re Okanmu), No. 11-43773, AP 13-01105, 13-01107 (Bankr. E.D. N.Y. Dec. 4, 2013). The trustee filed an adversary complaint seeking to avoid the debtors’ private school tuition payments for their minor children as constructively fraudulent transfers under sections 544 and 548(a)(1)(B). [Read more…] about Private School Tuition Payments Not Constructively Fraudulent Conveyance