SB 316 Summary

• Enacts the Indiana Uniform Voidable Transactions Act effective July 1, 2017, consolidating and reorganizing definitions and provisions governing fraudulent transfers of debtor property into IC 32-18-2.

• Establishes that transfers or obligations are voidable if made with actual intent to defraud creditors, or without reasonably equivalent value when the debtor was insolvent or became insolvent as a result.

• Defines key terms including "asset," "claim," "creditor," "debtor," "lien," "transfer," and "valid lien," and adds provisions for "protected series" within series organizations to be treated as separate persons.

• Sets statute of limitations for voidable transfer actions at 4 years after the transfer or 1 year after reasonable discovery (for actual fraud claims), or 4 years for other voidable transaction claims.

• Specifies that creditors bear the burden of proving elements of voidable transfer claims by preponderance of evidence, and that good faith transferees who gave value retain certain protections and rights.