Two theories and a change in New York
The elements of fraudulent conveyance fall into two broad families. One is built on intent: the debtor made the transfer to keep assets away from creditors. The other does not require bad intent and focuses instead on what the debtor received in exchange and on the debtor's financial condition at the time. New York replaced its older fraudulent conveyance statute with a version of the Uniform Voidable Transactions Act, and which version applies generally depends on when the transfer was made, so older transfers can still be judged under the prior rules. Many courts and lawyers still use the older phrase even when the newer statute governs.
Proving intent without an admission
Debtors rarely admit trying to defeat creditors, so intent is usually shown through circumstances. Courts look at patterns often called badges of fraud, such as a transfer to a family member made while litigation was pending, or a debtor who kept using property after supposedly giving it away. No single circumstance is decisive, but several together can support an inference that leaves the other side needing to explain the transaction. Deeds, bank records, corporate filings, the timeline of the creditor's claim, and testimony about who used the property afterward are usually the core evidence.
Matching the theory to the facts
Where the facts show a transfer for little or nothing while the debtor was already in trouble, the theory based on value and financial condition can avoid the need to prove intent, though it raises valuation questions of its own. Where a fair price was arguably paid but the circumstances suggest a scheme, the intent theory may be the only route, and the recipient's own good faith usually becomes a central question. Remedies can include setting the transfer aside so the creditor can reach the property and, in some situations, a judgment against the person who received it. In a first meeting we review the timeline and documents and decide which theory fits and whether early measures, such as an attachment, are worth seeking.
