Community & Southern Bankv.Lovell Et Al.
Community and Southern Bank acquired a judgment against Virgil Lovell after Georgia Trust Bank failed and the Federal Deposit Insurance Corporation sold the judgment to the bank. When Lovell and related entities transferred property, the bank sued under Georgia’s Uniform Fraudulent Transfers Act to set aside the conveyances. The Supreme Court of Georgia held that the Act generally permits a creditor to reach only property transferred by the debtor and therefore affirmed dismissal of claims concerning property conveyed by corporations for which no corporate debt was alleged. The court also rejected the trial court’s conclusion that a federal statute extending the time to sue failed as a matter of law to preempt Georgia’s statute of repose. Because the record did not clearly establish whether the federal extender statute applied to the bank as an FDIC assignee, the court left that issue for the trial court. The judgment was affirmed in part, reversed in part, vacated in part, and remanded.
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