Significant Issues in Fraudulent Transfer Actions: What You Need to Know in 2015
Recently, the 2014 amendments to the Uniform Fraudulent Transfer Act were approved; renaming the Act as Uniform Voidable Transfer Act (UVTA). The Ninth Circuit Court of Appeals recently issued a decision, by applying the United States Supreme Court’s ruling in Stern v. Marshall to fraudulent transfer claims, stating that a bankruptcy court could not constitutionally enter a final judgment on a fraudulent transfer claim under Stern until the fraudulent transfer was resolved.
This CLE course provides an overview and comprehensive discussion of various significant issues concerning fraudulent transfer actions. Our panel of key thought leaders and practitioners assembled by The Knowledge Group will discussion the fundamentals and review updates regarding the latest Significant Issues in Fraudulent Transfer Actions. The speakers will explain the amendments and their effect on current financial transactions and the law of voidable transfers, and help you to avoid common pitfalls and risks and offer best practices in dealing with Fraudulent Transfers.
Key topics include:
- Fraudulent Transfer Actions - An Overview
- Recent Fraudulent Transfer Claims
- Effect of Fraudulent Transfer Actions
- Risks, Remedies and Implications
- Allocation of Standard and Burden of Proof
- Up to the Minute Regulatory Developments
- Possible Lawsuits and Penalties
- How safe are the safe harbors? Reviewing recent cases regarding the extent and applicable of the Bankruptcy Code safe harbor provisions that insulate “securities contracts” and certain other transactions from avoidance.
- Ponzi Update – Courts in New York, Texas, and Minnesota weigh in on the applicability of the “Ponzi presumption” in fraudulent transfer litigation and application of the “good faith” defense.
- Insulating transactions from avoidance – Considering the value of solvency reps, savings clauses, and opinion letters.
Freeborn & Peters LLP
Freeborn & Peters LLP
- In a case involving the efforts of a trustee appointed to recover funds transferred from Madoff Investment Securities LLC to foreign “feeder funds,” which then transferred those funds to other foreign persons or entities, the Second Circuit recently ruled that the Bankruptcy Code does not apply extraterritorially to allow avoidance of fraudulent transfers that occur entirely outside of the United States.
- A bankruptcy court recently ruled that courts can shift the burden of production to a defendant to quantify the value of indirect benefits purportedly received by a debtor accused of making a fraudulent transfer.
- Bankruptcy trustees have “room to breathe” as it relates to their ability to bring fraudulent transfer claims under state statutes of repose. Assuming that the limitations period has not expired before the petition date, the repose period essentially freezes, and the trustee has two years to investigate and bring fraudulent transfer claims.
- The shell game lives on. As recently recounted by Hon. Judge Posner in Centerpoint Energy Services, Inc. v. Halim, 743 F.3d 503 (7th Cir. 2014),fraudsters use ever-shuffling shell companies to move and hide their assets to the detriment of their creditors.
Who Should Attend:
- Bankruptcy Attorneys
- Finance Executives
- Loan and Credit Personnel
- Officers Involved in Collection Process
- Banking and Financial Services Executives
- Other Related/Interested Professionals and Organizations
Aaron represents creditors, debtors, and other parties-in-interest in Chapter 11 bankruptcy proceedings and related adversary proceedings throughout the country, as well as in non-bankruptcy matters that implicate insolvency issues. He has extensive experience litigating insolvency and valuation disputes in avoidance and breach-of-contract litigation. In addition, he advises clients in connection with distressed transactions, both in and outside of bankruptcy, and regarding application of the Bankruptcy Code's "safe harbor" provisions in structuring and unwinding commodity and derivatives contracts. Aaron is a member of the firm’s Opinion Committee with respect to insolvency-related legal opinions.
Aaron has been selected for inclusion in The Best Lawyers in America in Bankruptcy and Creditor Debtor Rights/Insolvency and Reorganization Law each year from 2012 to 2015, and has been named a “Rising Star” by Super Lawyers in both Illinois and Virginia. Aaron graduated Order of the Coif from Washington and Lee University School of Law, where he served as Senior Articles Editor of the Washington and Lee Law Review. While attending law school, Aaron was awarded the American Bankruptcy Institute Medal and the Roy L. Steinheimer Commercial Law Award, and was also named the Distinguished Bankruptcy Law Student from the Fourth Circuit by the American College of Bankruptcy. Currently, Aaron serves as an adjunct professor of bankruptcy at the Chicago-Kent College of Law.
Aaron represents creditors, debtors, and other parties-in-interest in Chapter 11 bankruptcy proceedings and related adversary proceedings throughout the country, as …
Ryan Blackney is an Associate in the Litigation Practice Group and a member of the Fraud and Internal Investigations Team. Ryan has handled commercial fraud cases, including fraudulent transfers, bankruptcy fraud, guaranty enforcement actions and a variety of other general litigation matters. He brings a unique background in criminal prosecution, investigations and courtroom experience to each client matter.
Before joining Freeborn, Ryan was an Assistant State’s Attorney for eight years. Most recently, he was a Special Prosecutor for McHenry County, Illinois. As a special prosecutor, Ryan handled the most high-profile crimes in McHenry County from indictment to verdict, including: murder, rape, armed robbery, reckless homicide and child abuse offenses. He has handled countless cases involving fraud, including financial exploitation of the elderly, theft and forgery offenses. Ryan has had experience trying over 200 cases, including personally prosecuting 50 jury trials.
Ryan Blackney is an Associate in the Litigation Practice Group and a member of the Fraud and Internal Investigations Team. …
Shelly DeRousse is a Partner in the Bankruptcy and Financial Restructuring Practice Group. Shelly has extensive experience in the areas of bankruptcy, restructuring, litigation and asset sales. She is known amongst banks and other financial institutions as a leading attorney for lenders in bankruptcy cases, out-of-court workouts of borrowers’ loans, and assignments for the benefit of creditors. Shelly also has represented as lead counsel official creditors’ committees throughout the country. Additionally, she regularly represents companies and high earning individuals in their bankruptcies or workout negotiations with their lenders and other creditors.
Shelly is a very successful and accomplished commercial litigator and trial attorney. As lead attorney, she has litigated to judgment many trials and hearings on issues including mismanagement and fraud, fraudulent transfers, relief from the automatic stay, use of cash collateral, commercial contract disputes, assessment of lease value, benefit to a bankruptcy estate, and breach of fiduciary duty.
Shelly DeRousse is a Partner in the Bankruptcy and Financial Restructuring Practice Group. Shelly has extensive experience in the areas …
Print and review course materials
Method of Presentation:
NASBA Field of Study:
NY Category of CLE Credit:
Unlock All The Knowledge and Credit You Need
Leading Provider of Online Continuing Education
It's As Easy as 1, 2, 3
Get Your 1-Year All Access Pass For Only $199
About McGuireWoods LLP
McGuireWoods LLP is a full-service law firm with more than 1000 lawyers in 21 offices worldwide. McGuireWoods provides legal services to public, private, government and nonprofit clients in a variety of industries. They also offer ancillary business and strategic services outside the legal realm through their public affairs subsidiary, McGuireWoods Consulting LLC.
The firm’s 40 restructuring and insolvency lawyers offer a balanced mixture of transactional strength and litigation experience. They represent debtors and debtors in possession, secured creditors and unsecured creditors' committees, as well as lenders and trustees in all types of debt restructuring, litigation and bankruptcy reorganization proceedings, including out-of-court workouts. Representations range from large regional cases to those of national stature, and their practice extends across industry lines to include retail, health care, transportation, real estate, manufacturing, telecommunications and many other industries.
About Freeborn & Peters LLP
Freeborn & Peters LLP is a full-service law firm headquartered in Chicago, with international capabilities. Freeborn is always looking ahead and seeking better ways to serve its clients. It takes a proactive approach to ensure clients are informed, prepared and able to achieve greater success – not just now, but also in the future. Freeborn serves clients across a broad range of sectors and has pioneered an interdisciplinary approach that serves the specific needs of targeted industries, including credit unions, food, private equity and venture capital, transportation, insurance and reinsurance. Freeborn is a firm that genuinely lives up to its core values of integrity, caring, effectiveness, teamwork and commitment, and embodies them through high standards of client service and responsive action. Its lawyers build close, lasting relationships with clients and are driven to help them achieve their legal and business objectives.