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480 (1989), affd without published opinion, 933 F.2d 1014
(9th Cir. 1991).6
Here, the applicable State law is that of Maine, where the
properties were located. Hagaman v. Commissioner, 100 T.C. 180,
186-187 (1993). Under Maine’s Uniform Fraudulent Transfer Act
(MUFTA), a transferee may be liable where either actual or
constructive fraud was involved in a transfer. Me. Rev. Stat.
Ann. tit. 14, secs. 3575.1(A) and 3576.1 (West 2003).
With respect to actual fraud, section 3575.1(A) of MUFTA
provides that a debtor’s transfer will be considered fraudulent
as to a present or a future creditor if the debtor made a
transfer with “actual intent to hinder, delay or defraud any
creditor of the debtor”.
With respect to constructive fraud, section 3576.1 of MUFTA
provides that a debtor’s transfer will be considered fraudulent
as to a creditor whose claim arose before a transfer was made if
the debtor made the transfer without receiving a reasonably
equivalent value for the transfer and if the debtor was insolvent
at the time of the transfer or became insolvent as a result of
the transfer.
6 In Hagaman v. Commissioner, 100 T.C. 180, 183-186 (1993),
State law provisions and situations are noted under which some of
the listed factors relating to transferee liability may not be
applicable.
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