Florida Statute 726.105
“Transfers fraudulent as to present and future creditors”
What it means
Florida's fraudulent-transfer statute gives creditors two paths. A transfer or obligation is fraudulent — whether the claim arose before or after it — if made with actual intent to hinder, delay, or defraud any creditor, or if made without receiving reasonably equivalent value while the debtor was left with unreasonably small assets for its business, or intending or reasonably expecting debts beyond ability to pay.
Actual intent is proven by circumstance, so subsection (2) lists the badges of fraud — eleven factors including transfer to an insider, retained possession or control, concealment, a suit filed or threatened first, transfer of substantially all assets, absconding, and insolvency at or shortly after the transfer.
- Actual intent to hinder, delay, or defraud any creditor makes a transfer fraudulent — as to present and future creditors alike.
- So does a transfer for less than reasonably equivalent value by a debtor left too thin for the business or the debts ahead.
- Subsection (2) lists eleven badges of fraud guiding the intent finding — insider transfers, concealment, litigation timing, wholesale transfers, insolvency.
- Chapter 726's remedies include avoidance of the transfer to the extent needed to satisfy the creditor's claim.
How it plays out
Estates inherit these fights. A personal representative can pursue a transfer the decedent made to beat creditors, and the creditors of an insolvent estate expect it. The badges matter because nobody confesses intent — the case is the pattern: a deed to a child for love and affection, recorded two weeks after the demand letter, with the decedent still living in the house. Before taking a position in either direction, we read a troubled estate's last two years of transactions against subsection (2).
Questions people ask
