Article
Maximizing Value Along The Fraudulent Transfer Chain: What Must Be Avoided, And Who Must Be Sued?
A Delaware bankruptcy court ruling clarifies that trustees can pursue subsequent transferees in fraudulent transfer cases without naming the initial transferee as a defendant, though they must still prove and avoid the initial transfer. This decision provides critical guidance for vendors and creditors who may face clawback exposure even when the original wrongdoer isn't sued directly.
Lowenstein Sandler