{"data":{"id":"us-nc/n.c.-gen.-stat.-39-23.4","jurisdiction":"us-nc","citation":"N.C. Gen. Stat. § 39-23.4","heading":"Transfer or obligation voidable as to present or future creditor.","body":"(a)\tA transfer made or obligation incurred by a debtor is voidable as to a creditor, whether the creditor's claim arose before or after the transfer was made or the obligation was incurred, if the debtor made the transfer or incurred the obligation:\n(1)\tWith intent to hinder, delay, or defraud any creditor of the debtor; or\n(2)\tWithout receiving a reasonably equivalent value in exchange for the transfer or obligation, and the debtor:\na.\tWas engaged or was about to engage in a business or a transaction for which the remaining assets of the debtor were unreasonably small in relation to the business or transaction; or\nb.\tIntended to incur, or believed that the debtor would incur, debts beyond the debtor's ability to pay as they became due.\n(b)\tIn determining intent under subdivision (a)(1) of this section, consideration may be given, among other factors, to whether:\n(1)\tThe transfer or obligation was to an insider;\n(2)\tThe debtor retained possession or control of the property transferred after the transfer;\n(3)\tThe transfer or obligation was disclosed or concealed;\n(4)\tBefore the transfer was made or obligation was incurred, the debtor had been sued or threatened with suit;\n(5)\tThe transfer was of substantially all the debtor's assets;\n(6)\tThe debtor absconded;\n(7)\tThe debtor removed or concealed assets;\n(8)\tThe value of the consideration received by the debtor was reasonably equivalent to the value of the asset transferred or the amount of the obligation incurred;\n(9)\tThe debtor was insolvent or became insolvent shortly after the transfer was made or the obligation was incurred;\n(10)\tThe transfer occurred shortly before or shortly after a substantial debt was incurred;\n(11)\tThe debtor transferred the essential assets of the business to a lienor that transferred the assets to an insider of the debtor;\n(12)\tThe debtor made the transfer or incurred the obligation without receiving a reasonably equivalent value in exchange for the transfer or obligation, and the debtor reasonably should have believed that the debtor would incur debts beyond the debtor's ability to pay as they became due; and\n(13)\tThe debtor transferred the assets in the course of legitimate estate or tax planning.\n(c)\tA creditor making a claim for relief under subsection (a) of this section has the burden of proving the elements of the claim for relief by a preponderance of the evidence. (1997-291, s. 2; 2015-23, s. 1.)","path":["Chapter 39. Conveyances.","Article 3A. Uniform Voidable Transactions Act."],"source_url":"https://www.ncleg.gov/EnactedLegislation/Statutes/HTML/BySection/Chapter_39/GS_39-23.4.html","current_through":"S.L. 2026-30","vintage":"","retrieved_at":"2026-08-27T18:02:02Z","sha256":"fccd59efbe9587ca5b3936ab2a9b7295c1046edf0fb9918d9e5fff914d3c722a","source_id":"us-nc","stale":false,"prev":"us-nc/n.c.-gen.-stat.-39-23.3","next":"us-nc/n.c.-gen.-stat.-39-23.5"},"notice":"GroundRules: Original legal text. Not legal advice."}