4202. Constructive Fraudulent Transfer No Reasonably Equivalent Value Essential Factual Elements

4202. Constructive Fraudulent Transfer--No Reasonably Equivalent Value ReceivedEssential Factual Elements (Civ. Code, § 3439.04(a)(2)) Instruction No 1 Request by Plaintiff Given as Proposed Refused Withdrawn Request by Defendant Given as Modified Requested by Given on Court's Motion Judge Instruction No 1 [Name of plaintiff] claims [he/she/it] was harmed because [name of debtor] [transferred property/incurred an obligation] to [name of defendant] and, as a result, was unable to pay [name of plaintiff] money that was owed. [This is called "constructive fraud."] To establish this claim against [name of defendant], [name of plaintiff] must prove all of the following: 1. 2. 3. 4. That [name of plaintiff] has a right to payment from [name of debtor] for [insert amount of claim]; That [name of debtor] [transferred property/incurred an obligation] to [name of defendant]; That [name of debtor] did not receive a reasonably equivalent value in exchange for the [transfer/obligation]; [That [name of debtor] was in business or about to start a business or enter a transaction when [his/her/its] remaining assets were unreasonably small for the business or transaction;] [or] [That [name of debtor] intended to incur debts beyond [his/her/its] ability to pay as they became due;] [or] [That [name of debtor] believed or reasonably should have believed that [he/she/it] would incur debts beyond [his/her/its] ability to pay as they became due;] 5. 6. That [name of plaintiff] was harmed; and That [name of debtor]'s conduct was a substantial factor in causing 4202. Constructive Fraudulent Transfer (Civ. Code, § 3439.04(a)(2))-- Essential Factual Elements Instruction No 1 Request by Plaintiff Given as Proposed Refused Withdrawn Request by Defendant Given as Modified Requested by Given on Court's Motion Judge Instruction No 1 [name of plaintiff]'s harm. If you decide that [name of plaintiff] has proved all of the above, [he/she/it] does not have to prove that [name of debtor] intended to defraud any creditors. [It does not matter whether [name of plaintiff]'s right to payment arose before or after [name of debtor] [transferred property/incurred an obligation].] ________________________________________________________________________________ New June 2006; Revised June 2016