Posted by John Merchant on March 05, 2006 at 09:36:34:
Bob, you’re of course right, as to such conveyances being fraudulent.
But it would be difficult to prove the Mom is doing it for her kid, and unless it could be proved that it really was the kid’s assets being used to buy, or some other really strong evidence, it’d still be a tough matter to prove.
is a winning bid an asset? - Posted by lukeNC
Posted by lukeNC on March 03, 2006 at 11:10:35:
I am going to post this at the legal board too…
I have a judgment that was recently assigned to me and after doing some checking, I found that the debtor regularly bids in foreclosure auctions in our area and has had alot of winning bids.
He has no properties in his name. I guess because he owes people money, he will make the winning bid and then transfer his bid to his mother, who will eventually close on the property. The clerks dont let you look at the checks, so I cant tell what bank he’s banking at, otherwise I’d attach that bank account.
I’m thinking this could be classified as personal property and may come under the fraudulent transfer act.
Any opinions?
Re: is a winning bid an asset? - Posted by John Merchant
Posted by John Merchant on March 04, 2006 at 20:31:30:
If you now own the J, you have the right to Post J Discovery, where you can force the D, under oath, to tell you what he owns, what bank accounts he has, etc…but the minute he gets served with notice of the PJD proceeding, of course he’ll pull his money and hide it.
I’d do some more out of court digging, maybe pay a private investigator a few bucks if necessary, to track down his bank…then hire a lawyer to do a bank levy/garnishment on his account, and attach a lien to any RE the guy owns.
Re: is a winning bid an asset? - Posted by Bob Smith
Posted by Bob Smith on March 04, 2006 at 23:31:36:
What RE and bank accounts? He isn’t buying anything, he’s bidding at auction and assigning it (presumably for no consideration) to his mother. I’d argue these were clearly fraudulent conveyances, considering the active judgment against him. If his mother is gifting him large sums of money, that would seal it IMO. Of course, he’d probably argue he’s just helping out his poor mother. Probably a tossup as to whether the judge buys that.