Section 6.33 Liability of Transferees

• Library: Bankruptcy Practice (2007 Ed. + 2015 Cum Supp)

F. (§6.33) Liability of Transferees

A transferee, or obligee, who took from the debtor in good faith and for value has a lien on the property transferred, or may enforce the obligation incurred, to the extent that the transferee, or obligee, gave value. 11 U.S.C. § 548(c). Good faith is established by indicia of
an arms-length bargain. In re Inland Sec. Co. v. Estate of Kirshner, 382 F. Supp. 338, 348 (W.D. Mo. 1974). All of the surrounding circumstances should be taken into account, including:

· knowledge of the debtor’s insolvency or the other relevant facts and circumstances;

· fiduciary relationship toward the debtor; and

· coercion of...