The 3rd U.S. Circuit Court of Appeals has ruled that mere assistance of a client in a fraudulent asset transfer is not sufficient cause for liability. The judges cleared Springfield, N.J., solo Howard Lipstein of complicity in a fraudulent conveyance, finding that he never made any misrepresentations to the creditor nor had reason to foresee that the transfer would adversely affect it.
Debtors' Lawyer Avoids Liability for Carrying Out Fraudulent Transfer
New Jersey Law Journal
September 4, 2003