Legal Memorandum: Viable Fraudulent Transfer Claim in MN

Issue: What is necessary for fraudulent transfer claim to be considered viable in Minnesota?

In order for a Bank to have a viable fraudulent transfer claim under § 513.45(b) of the Minnesota Uniform Fraudulent Transfer Act (MUFTA), the Bank must have a proper claim.  A “claim” exists only if the creditor challenging the transfer had a “right to payment.”  (citing Minn. Stat. § 513.41(3)).  A “right to payment” means nothing more or less than an enforceable obligation, see id. (citing Cohen v. De la Cruz, 523 U.S. 213, 218 (1998)).  See id. at 4 (citing United States v. Vanornum, 912 F.2d 1023, 1026 (8^th Cir. 1990)). 

[…]