SB 1236 Summary

• Amends Michigan's Uniform Voidable Transactions Act (1998 PA 434) to add definitions and protections related to qualified dispositions in trust under the Qualified Dispositions in Trust Act (2016 PA 330).

• Establishes that creditors must prove claims involving qualified dispositions by clear and convincing evidence rather than preponderance of the evidence, a higher burden of proof.

• Limits voidability of qualified dispositions to those made with actual intent to hinder, delay, or defraud creditors; applies only to creditors whose claims arose after the disposition.

• Adds "qualified disposition," "qualified trustee," and "disposition" to the act's definitions, and modifies location rules to place qualified trustees at the business location of their primary trust officer if regulated by state or federal financial authorities.

• Makes technical corrections to grammar and cross-references throughout the statute.