The transfer of title to defendant in a pre-petition tax sale and foreclosure context may constitute a fraudulent conveyance under 11 U.S.C. § 548(a)(1)(B) and an avoidable preference under 11 U.S.C. § 547(b).
May 23, 2013 at 11:28 AM
1 minute read
In re Berley Associates Ltd., No. 12-32032; U.S. Bankruptcy Court (DNJ); opinion by Kaplan, U.S.B.J.; filed May 16, 2013. DDS No. 42-6-xxxx [19 pp.]
Debtor Berley Associates Ltd. owned a vacant lot in Morristown. When it failed to pay real estate taxes on the property in 1999, the township conducted a public tax sale. The successful bidder obtained a tax-sale certificate and accompanying lien on the property that was then assigned to defendant Geza Eckert.
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