Property purchase over two years ago:

[CoBelle]

Posting here, even tho I posed same question in a PM....but the answer might help some other poor soul!

Trustee trying to call an investment land purchase I made over two years ago a fraudulent transfer. When I read the bk code, sometimes I get a bit confused,but implies (to me) that if the trustee can only go back two years to look for a fraudulent transfer. What do you think?:

Section 548(a)(1) defines a fraudulent transfer in this way:

The trustee may avoid any transfer (including any transfer to or for the benefit of an insider under an employment contract) of an interest of the debtor in property, or any obligation (including any obligation to or for the benefit of an insider under an employment contract) incurred by the debtor, that was made or incurred on or within 2 years before the date of the filing of the petition, if the debtor voluntarily or involuntarily—

[BKParalegal]

How did the trustee know you transferred a piece of property? Did you list it in the SOFA? And if you did and it was more than 2 years ago, then why was it listed?

A trustee can argue that the case was filed in bad faith and therefore the time limit does not apply ( at least that is what I assume would be their approach)

[CoBelle]

Well this is just more of a FUBAR case. The property I bought was indeed a SECURE piece of land but because the deed was being held until the note was paid in full...held by a notario in Costa Rica....the judge said it was unsecured and not secured...BS I say but it allowedhim to dismiss my 13for being overthedebt limits.
So yes, it was listed as an unsecured debt (although it was secured by a recorded DOT) when I filed a Ch 7 just after the 13 was dismissed.

The Trustee isn't going after the land in Costa Rica...goodluck....but the monthly payments I made for the last year before filing (as preferential) But then she also calls it a FT
for payments that were 'transferred' during the last two years.

Des answered the ? re the fact that I purchased the property over two years ago by saying: " Yes but, under Section 544(b)(1) a Trustee can use your State's fraudulent transfer statute to void the transfer as allowed by State law. This takes it beyond the 2 years as most States have a 4 year window.

The other claims by the Trustee don't exist:insolvent, debt, insider but I was hoping that this could have been resolved just by citing the 2year look back . Sigh.

[CoBelle]

it seems taht the basis for her objection (besides the allegation that i was insolvent and seller an insider...neither of which is true) is that I dind't get any value for the paymetns
I made on the loan. Well, I was paying for 10 acres of ocean view land that could be subdivided into 10to 20 lots, each appraised at @ $130k per lot at time of purchase.The payments included p&i. I filed a chapter 13 two years later and wanted to keep both my house and the investment property but the 13 trustee said that I couldn't keep the investment property, that I had to let the lender take it. After my 13 was dismissed (because of the ridiculous motion brought by ex that my secured loan was really unsecure aas it wasn't recorded in the US....DUH, recorded in the country where the land was) , I filed a 7 and put down what the judge had ordered...unsecured debt...even tho I'd already deeded the property back as ordered by the 13 trustee months before.

Looks like I will have to hire an attonrey to respond, even though it is all a bunch of crap instigated by my ex who has filed over 50 motions/objections so far.

[tobee43]

i hate to see you have to hire an atty for this...because you and i both know they just want to take your $$$$$$.....however, you also know that the amount or the value is most likely the trutee's point of contention....

you have had your plate so full....i am in awe of you that it' s still hasn't shattered....you are certainly one brave lady!

[CoBelle]

Hi Jacy, thanks for responding but I have no idea what you might be referring to. The property I bought or was buying was an owner carry, if you will, and I was making timely P and I payments on it since 2008 until I was told by the trustee that I had to surrender it in my Ch `13. The Ch 13 was later dismissed and I filed a Ch 7. The Ch 7 trustee's attorney is now claiming that the sale that commenced in 2007 was an FT and that she wanted the lender to give back all the payments made . Hope that helps....perhaps you were replying to someone else's thread?

[ValleYum]

Nope CoBelle - she is just a random adbot spammer - notice the nonsense post *and* the advertising link in her signature line.

Hope you are doing okay...