Report proposing the Uniform Voidable Transactions Act in New York

SUMMARY

The Commercial and Uniform State Laws Committee and the Bankruptcy and Corporate Reorganization Committee issued a report proposing that New York adopt the Uniform Voidable Transactions Act (UVTA). New York is one of only two states (with Maryland) that is still operating under the 1918 predecessor law–the Uniform Fraudulent Conveyances Act. The divergence between the New York statute and other states has led to confusion, disparate results, and costly litigation over choice-of-law issues.  Adopting the UVTA would allow New York to modernize the current statute and establish rules for what have heretofore been unclear or inconsistently resolved issues regarding, among other things, burdens of proof, pleading requirements and choice of law. 

UPDATE

Bill introduced in Legislature – May 12, 2016