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Tag Archives: Kentucky

Into The Void: Kentucky Adopts Uniform Fraudulent … er, I Mean … Voidable Transactions Act

Posted in Fraudulent Transfer, Kentucky Law
Until 2016, Kentucky was one of just a few states that had not adopted a model statute relating to fraudulent transfers.  As mentioned in a prior post on Kentucky’s statutory quirkiness, its statute descended neither from the Uniform Fraudulent Transfer Act (“UFTA”) nor the Uniform Fraudulent Conveyance Act (“UFCA”).  Effective this year, however, Kentucky is at the leading edge… Continue Reading

Your Guaranty Might Be Invalid In Kentucky

Posted in Guaranty, Kentucky Law
As I’ve mentioned before, Kentucky law is quirky in many respects.  Unlike most states, Kentucky’s fraudulent transfer statute is essentially bespoke, adopting neither the Uniform Fraudulent Transfer Act or the Uniform Fraudulent Conveyance Act.  Kentucky’s Constitution requires that lawyers swear an oath that they’ve never participated in (or seconded) a duel.  Kentucky’s Constitution also adopts wholesale the… Continue Reading

Kentucky Court of Appeals: Seniors Rule!

Posted in Foreclosure, Kentucky Law
The Kentucky Court of Appeals ruled last week that a junior mortgagee may not force a judicial sale free and clear of a senior mortagee’s interest even when the senior mortgagee defaults in the underlying foreclosure litigation. In Mortgage Electronic Registration Systems v. Mainsource Bank, No. 2012-CA-001168 (Feb. 21, 2014), the junior lienholder had instituted a foreclosure… Continue Reading

The Two Most Important Kentucky Business Foreclosure Decisions…

Posted in Counterclaim, Forbearance, Kentucky Law, Receivership
…arise out of the same case.  The cases are Thompson v. BB&T, 2008-CA-1217 (Ky. Ct. App., June 12, 2009) (“Thompson I“) and Thompson v. BB&T, 2009-CA-1427 (Ky. Ct. App., Jan. 28, 2011) (“Thompson II“). Both decisions arise out of a commercial lending dispute that boiled over into a foreclosure in which the borrower asserted sizeable… Continue Reading

Enforcing Troubled Business Debt In Kentucky

Posted in Foreclosure, Kentucky Law, Receivership
That troubled business credit in Kentucky is slowly but surely winding its way through your workout roadmap.  Despite your generous extension, efforts to broker a refinancing have failed.  Your borrower stops making payments.  Your borrower resists discussing a friendly liquidation.  Pretty soon, your borrower stops returning your calls altogether.  You reach out to counsel.  What… Continue Reading