Skip to main content
Find a Lawyer

Utah Code Title 31A. Insurance Code § 31A-27a-508. Liability of transferee

Current as of January 01, 2025 | Updated by Findlaw Staff

(1) Except as otherwise provided in this section, to the extent that the receiver obtains an order pursuant to Section 31A-27a-501, or avoids a transfer under Section 31A-27a-502, 31A-27a-503, 31A-27a-504, 31A-27a-506, or 31A-27a-507, the receiver may recover the property transferred, or the value of the property, from:

(a) the initial transferee of the transfer or the entity for whose benefit the transfer is made; or

(b) subject to Subsection (2), an immediate or mediate transferee of the initial transferee.

(2) The receiver may not recover under Subsection (1)(b) from:

(a) a transferee that takes for value, including satisfaction or securing of a present or antecedent debt:

(i) in good faith; and

(ii) without knowledge of the voidability of the transfer avoided; or

(b) an immediate or mediate good faith transferee of the transferee.

(3) A transfer avoided in accordance with this chapter is preserved for the benefit of the receivership estate, but only with respect to property of the insurer.

(4) In addition to the remedies specifically provided in Sections 31A-27a-501, 31A-27a-502, 31A-27a-503, 31A-27a-504, 31A-27a-506, and 31A-27a-507 and Subsection (1), if the receiver is successful in establishing a claim to the property or any part of the property, the receiver may recover judgment for the following:

(a) rental for the use of tangible property from the later of:

(i) the day on which the receivership order is entered; or

(ii) the date of the transfer; and

(b) in the case of funds or intangible property:

(i) the greater of:

(A) the actual interest;

(B) income earned by the property; or

(C) interest at the statutory rate for judgments; and

(ii) from the later of:

(A) the day on which the receivership order is entered; or

(B) the date of the transfer.

(5) In an action pursuant to this section, the receivership court may allow the receiver to seek recovery of the property involved or its value.

(6) In an action pursuant to Sections 31A-27a-501, 31A-27a-502, 31A-27a-503, 31A-27a-504, 31A-27a-506, 31A-27a-507, and 31A-27a-510:

(a) the receiver has the burden of proving the avoidability of a transfer; and

(b) the person against whom recovery or avoidance is sought has the burden of proving the nature and extent of any affirmative defense.

Previous Part of Code Next Part of Code
Back to Chapter List

Cite this article: FindLaw.com - Utah Code Title 31A. Insurance Code § 31A-27a-508. Liability of transferee - last updated January 01, 2025 | https://codes.findlaw.com/ut/title-31a-insurance-code/ut-code-sect-31a-27a-508/

FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature before relying on it for your legal needs.

Was this helpful?

Welcome to FindLaw's Cases & Codes

A free source of state and federal court opinions, state laws, and the United States Code. For more information about the legal concepts addressed by these cases and statutes, visit FindLaw’s Learn About the Law.

Go to Learn About the Law

Latest Blog Posts

For Legal Professionals

Learn About The Law

Get help with your legal needs

FindLaw’s Learn About the Law features thousands of informational articles to help you understand your options. And if you’re ready to hire an attorney, find one in your area who can help.

Go to Learn About the Law

Need to Find an Attorney?

Search our directory by legal issue

Enter information in one or both fields (Required)

Copied to clipboard