{"data":{"id":"us-ky/krs-286.3-864","jurisdiction":"us-ky","citation":"KRS 286.3-864","heading":"\"Preference\" defined.","body":"(1) A preference is a transfer of any of the property of the bank:\n(a) To or for the benefit of a creditor;\n(b) For or on account of an antecedent debt owed by the bank before such transfer\nwas made;\n(c) Made while the bank was insolvent;\n(d) Made:\n1. On or wi thin ninety (90) days before the date of the closing of a bank\nunder KRS 286.3 -854 if such creditor had reasonable cause to believe\nthe bank was insolvent at the time of such transfer; or\n2. On or within one (1) year before the date of the closing of a ban k under\nKRS 286.3 -854 if such creditor was a director, officer or person in\ncontrol of the state bank and had reasonable cause to believe the bank\nwas insolvent at the time of such transfer; and\n(e) That enables such creditor to obtain a greater percentage of his debt than some\nother creditor of the same class.\n(2) A preference does not include a transfer:\n(a) To the extent that such transfer was a substantially contemporaneous\nexchange for new value given to the bank; or\n(b) To the extent that such transfer was made in payment of a debt incurred in the\nordinary course of the bank's business made not later than forty -five (45) days\nafter such debt was incurred.","path":[],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=14613","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:57:11Z","sha256":"20def78788c5ad377e1929d46f4822fa2a2ed67625e497c2d6de67965e81728e","source_id":"us-ky","stale":false,"prev":"us-ky/krs-286.3-862","next":"us-ky/krs-286.3-866"},"notice":"GroundRules: Original legal text. Not legal advice."}