Section 6-16-5 Transfers or obligations voidable as to present creditors.

RI Gen L § 6-16-5 (2019) (N/A)

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§ 6-16-5. Transfers or obligations voidable as to present creditors. (a) A transfer made or obligation incurred by a debtor is voidable as to a creditor whose claim arose before the transfer was made or the obligation was incurred if the debtor made the transfer or incurred the obligation without receiving a reasonably equivalent value in exchange for the transfer or obligation and the debtor was insolvent at that time or the debtor became insolvent as a result of the transfer or obligation.

(b) A transfer made by a debtor is voidable as to a creditor whose claim arose before the transfer was made if the transfer was made to an insider for an antecedent debt; the debtor was insolvent at that time; and the insider had reasonable cause to believe that the debtor was insolvent.

(c) Subject to § 6-16-2(b), a creditor making a claim for relief under subsection (a) or (b) of this section has the burden of proving the elements of the claim for relief by a preponderance of the evidence.

History of Section. (P.L. 1986, ch. 438, § 2; P.L. 2014, ch. 528, § 14; P.L. 2018, ch. 141, § 2; P.L. 2018, ch. 236, § 2.)

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Section 6-16-4 Transfers voidable as to present and future creditors.

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Section 6-16-5.1 Transfers voidable as to depository creditors of financial institutions closed by proclamation of the governor dated January 1, 1991 - Remedies.