Voidable Preference; Fraudulent Conveyance Clause Samples

The "Voidable Preference; Fraudulent Conveyance" clause is designed to address and prevent transactions that could be reversed or challenged in bankruptcy or insolvency proceedings. It typically applies to transfers of assets or payments made by a debtor to a creditor shortly before bankruptcy, which may be deemed unfair to other creditors or intended to defraud them. By outlining the parties' rights and obligations if such transactions are later voided or set aside, this clause helps allocate risk and ensures that all parties are aware of the potential consequences of certain pre-bankruptcy actions.
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Voidable Preference; Fraudulent Conveyance. If at any time any payment, or portion thereof, made by, or for the account of, the Guarantor(s) on account of any of the obligations and liabilities hereunder is set aside by any court or trustee having jurisdiction as a voidable preference or fraudulent conveyance or must otherwise be restored or returned by the County under any insolvency, bankruptcy or other federal and/or state laws or as a result of any dissolution, liquidation or reorganization of the Borrower or upon, or as a result of, the appointment of any receiver, intervenor or conservator of, or trustee or similar officer for, the Borrower or any substantial part of its properties or assets, the Guarantor hereby agrees that this Guaranty shall continue and remain in full force and effect or be reinstated, as the case may be, all as though such payments) had not been made.
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Voidable Preference; Fraudulent Conveyance. If at any time any payment, or portion thereof, made by, or for the account of, the Borrower on account of any of the obligations and liabilities hereunder is set aside by any court or trustee having jurisdiction as a voidable preference or fraudulent conveyance or must otherwise be restored or returned by the County under any insolvency, bankruptcy or other federal and/or state laws or as a result of any dissolution, liquidation or reorganization of the Borrower or upon, or as a result of, the appointment of any receiver, intervenor or conservator of, or trustee or similar officer for, the Borrower or any substantial part of its properties or assets, the Borrower hereby agrees that this Loan and Note shall continue and remain in full force and effect or be reinstated, as the case may be, all as though such payments had not been made.
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Voidable Preference; Fraudulent Conveyance. This Agreement shall continue to be effective or be reinstated, as the case may be, if at any time, and from time to time, payment, or any part thereof, by Borrower, is rescinded or must otherwise be restored or returned by NCBDC upon the insolvency, bankruptcy or reorganization of Borrower or otherwise, all as though such payment had not been made. In addition, if at any time any payment, or portion thereof, made by, of for the account of, the Guarantor on account of any of the obligations and liabilities hereunder is set aside by any court or trustee having jurisdiction as a voidable preference or fraudulent conveyance or must otherwise be restored or returned by NCBDC under any insolvency, bankruptcy or other federal and/or state laws or as a result of any dissolution, liquidation or reorganization of the Borrower or upon, or as a result of, the appointment of any receiver, intervenor or conservator of, or trustee or similar officer for, the Borrower or any substantial part of its properties or assets, or any other Guarantor, if there shall be more than one, the Guarantor hereby agrees that this Agreement shall continue and remain in full force and effect or be reinstated, as the case may be, all as though such payments(s) had not been made.
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Related to Voidable Preference; Fraudulent Conveyance

  • Solvency; Fraudulent Conveyance CAC is solvent, is able to pay its debts as they become due and will not be rendered insolvent by the transactions contemplated by the Basic Documents and, after giving effect thereto, will not be left with an unreasonably small amount of capital with which to engage in its business. CAC does not intend to incur, or believes that it has incurred, debts beyond its ability to pay such debts as they mature. CAC does not contemplate the commencement of insolvency, bankruptcy, liquidation or consolidation proceedings or the appointment of a receiver, liquidator, conservator, trustee or similar official to manage or control any of its assets. The amount of consideration being received by CAC upon the sale or other absolute transfer of the Conveyed Property to Funding constitutes reasonably equivalent value and fair consideration for the Conveyed Property. CAC is not transferring the Conveyed Property to Funding with any intent to hinder, delay or defraud any of its creditors.

  • Fraudulent Conveyance Borrower (a) has not entered into the Loan or any Loan Document with the actual intent to hinder, delay, or defraud any creditor and (b) received reasonably equivalent value in exchange for its obligations under the Loan Documents. Giving effect to the Loan, the fair saleable value of Borrower’s assets exceeds and will, immediately following the execution and delivery of the Loan Documents, exceed Borrower’s total liabilities, including, without limitation, subordinated, unliquidated, disputed or contingent liabilities. The fair saleable value of Borrower’s assets is and will, immediately following the execution and delivery of the Loan Documents, be greater than Borrower’s probable liabilities, including the maximum amount of its contingent liabilities or its debts as such debts become absolute and matured. Borrower’s assets do not and, immediately following the execution and delivery of the Loan Documents will not, constitute unreasonably small capital to carry out its business as conducted or as proposed to be conducted. Borrower does not intend to, and does not believe that it will, incur debts and liabilities (including, without limitation, contingent liabilities and other commitments) beyond its ability to pay such debts as they mature (taking into account the timing and amounts to be payable on or in respect of obligations of Borrower).

  • Fraudulent Claims If any claim under this Agreement is in any respect fraudulent, all benefits payable and/or paid in relation to that claim shall be forfeited and if deemed appropriate, recoverable, respectively.

  • Fraudulent Transfer (a) Each Loan Party is Solvent. (b) No transfer of property is being made by any Loan Party and no obligation is being incurred by any Loan Party in connection with the transactions contemplated by this Agreement or the other Loan Documents with the intent to hinder, delay, or defraud either present or future creditors of such Loan Party.

  • FRAUDULENT TRANSACTIONS 1. If the Cardmember commits or attempts to commit any fraudulent transaction of any nature as determined by AEME, or applicable laws, AEME has the right to immediately cancel the Card in addition to any other legal action available by law. The Cardmember shall be fully liable for all amounts and damages of any nature that AEME, Service Establishments or third parties may sustain because of his or her fraudulent acts. AEME shall have the right to and is hereby authorized to file complaints and reports on behalf of the Cardmember and to provide information about the Card, Account or Transactions to any competent court, or regulatory or government authority and to participate in any investigation of fraud. 2. If the Cardmember uses his or her Card in compliance with the provisions of this Agreement to pay for goods or services offered online over the internet on websites which display the “Online Fraud Protection Guarantee” logo, the Cardmember shall not be liable for any fraudulent Unauthorized Transaction made on his or her Card unless the Cardmember fails to notify AEME of such fraudulent Transaction within 30 days from the date of receipt of the Statement of Account where such fraudulent Transaction appears.