{"id":1888,"date":"2021-10-25T03:56:23","date_gmt":"2021-10-25T03:56:23","guid":{"rendered":"https:\/\/crowdsourcelawyers.com\/judicial-council-california-civil-jury-instructions-caci\/?page_id=1888"},"modified":"2022-05-09T19:40:36","modified_gmt":"2022-05-09T19:40:36","slug":"caci-4205-insolvency-explained","status":"publish","type":"page","link":"https:\/\/crowdsourcelawyers.com\/judicial-council-california-civil-jury-instructions-caci\/caci-4205-insolvency-explained\/","title":{"rendered":"CACI 4205 \u201cInsolvency\u201d Explained"},"content":{"rendered":"\n<style type=\"text\/css\" data-created_by=\"avia_inline_auto\" id=\"style-css-av-kv2bzhwh-19b30f7e490e061dce9023908791c929\">\n#top .av-special-heading.av-kv2bzhwh-19b30f7e490e061dce9023908791c929{\npadding-bottom:10px;\n}\nbody .av-special-heading.av-kv2bzhwh-19b30f7e490e061dce9023908791c929 .av-special-heading-tag .heading-char{\nfont-size:25px;\n}\n.av-special-heading.av-kv2bzhwh-19b30f7e490e061dce9023908791c929 .av-subheading{\nfont-size:15px;\n}\n<\/style>\n<div  class='av-special-heading av-kv2bzhwh-19b30f7e490e061dce9023908791c929 av-special-heading-h1 blockquote modern-quote  avia-builder-el-0  el_before_av_hr  avia-builder-el-first '><h1 class='av-special-heading-tag '  itemprop=\"headline\"  >CACI 4205 <span class='special_amp'>\u201c<\/span>Insolvency<span class='special_amp'>\u201d<\/span> Explained<\/h1><div class='av-subheading av-subheading_below'><p>California Civil Jury Instructions CACI<\/p>\n<\/div><div class=\"special-heading-border\"><div class=\"special-heading-inner-border\"><\/div><\/div><\/div>\n<div  class='hr av-av_hr-91d7ccd583a503147498e120fee2ff9b hr-default  avia-builder-el-1  el_after_av_heading  el_before_avia_sc_search '><span class='hr-inner '><span class=\"hr-inner-style\"><\/span><\/span><\/div>\n\n<style type=\"text\/css\" data-created_by=\"avia_inline_auto\" id=\"style-css-av-avia_sc_search-f7f83518637509acfac1c9900b84c1e7\">\n#top 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id='searchform_element' method='get' class='' data-element_id='av-avia_sc_search-f7f83518637509acfac1c9900b84c1e7' ><div class='av_searchform_wrapper'><input type='search' value='' id='s' name='s' placeholder='Search CACI' aria-label='Search CACI' class='av-input-field ' required \/><div class='av_searchsubmit_wrapper '><input type='submit' value='Find' id='searchsubmit' class='button ' title='View results on search page' aria-label='View results on search page' \/><\/div><input type='hidden' name='numberposts' value='8' \/><input type='hidden' name='post_type' value='page' \/><input type='hidden' name='results_hide_fields' value='post_titles,meta,image' \/><\/div><\/form><\/search><\/div>\n<section  class='av_textblock_section av-av_textblock-e878f05c31dff72941bf1e49a00d9ff5 '   itemscope=\"itemscope\" itemtype=\"https:\/\/schema.org\/CreativeWork\" ><div class='avia_textblock'  itemprop=\"text\" ><ul>\n<li><a href=\"https:\/\/crowdsourcelawyers.com\/judicial-council-california-civil-jury-instructions-caci\/\">CACI Jury Instructions Index<\/a><\/li>\n<li><a href=\"https:\/\/caci-fillable-forms.crowdsourcelawyers.com\/\">App: CACI Jury Instructions Fillable Forms Word Format<\/a><\/li>\n<\/ul>\n<\/div><\/section>\n<div  class='hr av-av_hr-91d7ccd583a503147498e120fee2ff9b hr-default  avia-builder-el-4  el_after_av_textblock  el_before_av_textblock '><span class='hr-inner '><span class=\"hr-inner-style\"><\/span><\/span><\/div>\n\n<style type=\"text\/css\" data-created_by=\"avia_inline_auto\" id=\"style-css-av-kv2c0eap-8aa8951ea7fbffc431eb656059d588ba\">\n#top .av_textblock_section.av-kv2c0eap-8aa8951ea7fbffc431eb656059d588ba .avia_textblock{\nfont-size:20px;\n}\n<\/style>\n<section  class='av_textblock_section av-kv2c0eap-8aa8951ea7fbffc431eb656059d588ba '   itemscope=\"itemscope\" itemtype=\"https:\/\/schema.org\/CreativeWork\" ><div class='avia_textblock'  itemprop=\"text\" ><h2 class=\"SS_Banner\">4205\u00a0\u201cInsolvency\u201d Explained<\/h2>\n<hr \/>\n<p><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">[[<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Name of debtor<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">] was insolvent [at the time\/as a result] of the transaction if, at fair valuation, the total amount of [his\/her\/<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">nonbinary pronoun<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">\/its] debts was greater than the total amount of [his\/her\/<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">nonbinary pronoun<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">\/its] assets.]<\/span><\/p>\n<p><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">In determining [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of debtor<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">]\u2019s assets, do not include property that has been [transferred, concealed, or removed with intent to hinder, delay, or defraud creditors\/ [or] transferred [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">specify grounds for voidable transfer based on constructive fraud<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">]]. [In determining [<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">name of debtor<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">]\u2019s debts, do not include a debt to the extent it is secured by a valid lien on [his\/her\/<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">nonbinary pronoun<\/span><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\">\/its] property that is not included as an asset.] <br class=\"avia-permanent-lb\" \/><br class=\"avia-permanent-lb\" \/><\/span><\/p>\n<hr \/>\n<div class=\"SS_Note\">\n<h2 class=\"SS_HideShowSection SS_Expandable\"><\/h2>\n<div id=\"TRNotes_n_1\">\n<p><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">New June 2006; Revised June 2016 <br class=\"avia-permanent-lb\" \/><br class=\"avia-permanent-lb\" \/><\/span><\/p>\n<hr \/>\n<p><a href=\"https:\/\/crowdsourcelawyers.com\/\">Crowdsource Lawyers<\/a><\/p>\n<p><a href=\"https:\/\/crowdsourcelawyers.com\/judicial-council-california-civil-jury-instructions-caci\">https:\/\/crowdsourcelawyers.com\/judicial-council-california-civil-jury-instructions-caci<\/a><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\"><br class=\"avia-permanent-lb\" \/><\/span><\/p>\n<hr \/>\n<\/div>\n<\/div>\n<div class=\"SS_Note\">\n<h2 class=\"SS_HideShowSection SS_Expandable\">Directions for Use<\/h2>\n<div id=\"TRNotes_n_2\">\n<p>Give this instruction with\u00a0CACI No. 4203,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Constructive Fraudulent Transfer<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">\u2014Insolvency\u2014<\/span><span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Essential Factual Elements<\/span>. Give also\u00a0CACI No. 4206,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Presumption of Insolvency<\/span>.<\/p>\n<p>Property the transfer of which is potentially voidable under the Uniform Voidable Transactions Act (formerly the Uniform Fraudulent Transfer Act) is to be excluded from the computation of the debtor\u2019s assets for purposes of determining insolvency. (Civ. Code, \u00a7\u20093439.02(c).) In the first sentence of the second paragraph select the first option if there is property transferred and alleged to be voidable for actual fraud (see\u00a0Civ. Code, \u00a7\u20093439.04(a)(1).), and specify the grounds in the second option if there is property transferred and alleged to be voidable for constructive fraud. (See\u00a0Civ. Code, \u00a7\u00a7\u20093439.04(a)(2), 3904.05.) Read the bracketed last sentence if appropriate to the facts. (See\u00a0Civ. Code, \u00a7\u20093439.02(d).) <br class=\"avia-permanent-lb\" \/><br class=\"avia-permanent-lb\" \/><\/p>\n<hr \/>\n<\/div>\n<\/div>\n<div class=\"SS_Note\">\n<h2 class=\"SS_HideShowSection SS_Expandable\">Sources and Authority<\/h2>\n<div id=\"TRNotes_n_3\">\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">When Debtor Is Insolvent.\u00a0Civil Code section 3439.02.<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201cAsset\u201d Defined.\u00a0Civil Code section 3439.01(a).<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201cTo determine solvency, the value of a debtor\u2019s assets and debts are compared. By statutory definition, a debtor\u2019s assets exclude property that is exempt from judgment enforcement. Retirement accounts are generally exempt.\u201d (<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Mejia v. Reed<\/span>\u00a0(2003) 31 Cal.4th 657, 670 [3 Cal.Rptr.3d 390, 74 P.3d 166], internal citations omitted.)<\/span><\/p>\n<p><span class=\"SS_ListLabel\">\u2022<\/span><span class=\"SS_ListItemContent\">\u201cWe conclude \u2026 that future child support payments should not be viewed as a debt under the UFTA.\u201d (<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Mejia, supra,<\/span>\u00a031 Cal.4th at p. 671.) <br class=\"avia-permanent-lb\" \/><br class=\"avia-permanent-lb\" \/><\/span><\/p>\n<hr \/>\n<\/div>\n<\/div>\n<h2 class=\"SS_Heading\"><span class=\"SS_bf\" data-housestyle=\"EMPHASIS_bf\"><span class=\"SS_ib\" data-housestyle=\"EMPHASIS_ib\">Secondary Sources<\/span><\/span><\/h2>\n<div>Ahart, California Practice Guide: Enforcing Judgments &amp; Debts, Ch. 3-C,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Prelawsuit Considerations<\/span>, \u00b6\u20093:327 et seq. (The Rutter Group)<\/div>\n<div>23\u00a0California Forms of Pleading and Practice, Ch. 270,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Fraudulent Conveyances<\/span>, \u00a7\u00a7\u2009270.42[3],\u00a0270.192\u00a0(Matthew Bender)<\/div>\n<div>26\u00a0California Forms of Pleading and Practice, Ch. 307,\u00a0<span class=\"SS_it\" data-housestyle=\"EMPHASIS_it\">Insolvency<\/span>, \u00a7\u2009307.32 (Matthew Bender)<\/div>\n<div class=\"SS_Note\">\n<div id=\"TRNotes_n_3\"><\/div>\n<\/div>\n<\/div><\/section>\n<div  class='hr av-71oubk-9e933ebb76a14f343bbd48f61031c69a hr-default  avia-builder-el-6  el_after_av_textblock  el_before_av_textblock '><span class='hr-inner '><span class=\"hr-inner-style\"><\/span><\/span><\/div>\n\n<style type=\"text\/css\" data-created_by=\"avia_inline_auto\" id=\"style-css-av-5iotgg-0b38b4145d7cf017ec49988d37c50443\">\n#top .av_textblock_section.av-5iotgg-0b38b4145d7cf017ec49988d37c50443 .avia_textblock{\nfont-size:22px;\n}\n<\/style>\n<section  class='av_textblock_section av-5iotgg-0b38b4145d7cf017ec49988d37c50443 '   itemscope=\"itemscope\" itemtype=\"https:\/\/schema.org\/CreativeWork\" ><div class='avia_textblock'  itemprop=\"text\" ><p><a href=\"https:\/\/crowdsourcelawyers.com\/\">CrowdSourceLawyers.com<\/a><\/p>\n<\/div><\/section>\n","protected":false},"excerpt":{"rendered":"","protected":false},"author":3,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"footnotes":""},"class_list":["post-1888","page","type-page","status-publish","hentry"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - 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