N.C. Gen. Stat. » Chapter 39
NC General Statutes

N.C. Gen. Stat. § 39-23.5 (2026)

Transfer or obligation voidable as to present creditor

✓ current as of July 2026
Find cases: SyfertCases citing this section NCLEGncleg.gov (official) JustiaChapter 39 CornellLII Search CasesGoogle Scholar

(a) A transfer made or obligation incurred by a debtor is voidable as to a creditor whose claim arose before the transfer was made or the obligation was incurred if the debtor made the transfer or incurred the obligation without receiving a reasonably equivalent value in exchange for the transfer or obligation, and the debtor was insolvent at that time or the debtor became insolvent as a result of the transfer or obligation.

(b) A transfer made by a debtor is voidable as to a creditor whose claim arose before the transfer was made if the transfer was made to an insider for an antecedent debt, the debtor was insolvent at that time, and the insider had reasonable cause to believe that the debtor was insolvent.

(c) Subject to G.S. 39-23.2(b), a creditor making a claim for relief under subsection (a) or subsection (b) 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.)

 

Notes of Decisions
Cited in 39 cases (12 in the last 5 years), 1998–2025 · leading case: Fischer Inv. Capital, Inc. v. Catawba Dev. Corp., 689 S.E.2d 143 (N.C. Ct. App. 2009).
Sort: Relevance Newest Treatment
Fischer Inv. Capital, Inc. v. Catawba Dev. Corp., 689 S.E.2d 143 (N.C. Ct. App. 2009). · cites it 16× “According to Plaintiff, such a result would be particularly appropriate given that Defendant Mark Lewis and Defendant Catawba had transferred the Gravestone Property to Defendant Ridgeline in violation of N.C. Gen. Stat. § 39-23.4 (a)(l) and N.C.”
Starnes v. Comm'r, 680 F.3d 417 (4th Cir. 2012). · cites it 10× “We begin with the first of the three NCUFTA provisions relied on by the Commissioner: N.C. Gen.Stat. § 39-23.5. That subsection provides in pertinent part that a "transfer" made by a debtor "is fraudulent as to a creditor whose claim arose before the transfer was made," if the…”
Est. of Hurst ex rel. Cherry v. Jones, 750 S.E.2d 14 (N.C. Ct. App. 2013). · cites it 14× “There exist genuine issues of material fact under N.C. Gen. Stat. § 39-23.5 , 39-23.4, and 39-23.”
KB Aircraft Acquisition, LLC v. Berry, 790 S.E.2d 559 (N.C. Ct. App. 2016). · cites it 6× “Applying the Statute Plaintiff's first cause of action alleges fraudulent transfer in violation of two separate subsections of the UVTA: N.C. Gen. Stat. § 39-23.4 (a)(1) (2015), which creates a cause of action for transfers or obligations voidable as to present or future…”
Starnes v. Comm'r, 2011 T.C. Memo. 63 (Tax Ct. 2011). · cites it 4× “(b) A transfer made by a debtor is voidable as to a creditor whose claim arose before the transfer was made if the transfer was made to an insider for an antecedent debt, the debtor was insolvent at that time, and the insider had reasonable cause to believe that the debtor was…”
Hoch v. Hoch (In re Hoch), 577 B.R. 202 (Bankr. E.D.N.C. 2017). · cites it 5× “Unlike Scott, the plaintiff in KB Aircraft brought claims under both North Carolina General Statutes § 39-23.4(a)(1) (which may be brought by a present or future creditor of a debtor) and North Carolina General Statutes § 39-23.”
Andrew v. United States, 91 F. Supp. 3d 739 (M.D.N.C. 2015). · cites it 5× “” N.C. Gen.Stat. § 39-23.5(a). As a result of the November 28 transfers, GNC transferred $4,932,676 from its existing accounts, and $4,932,676 was deposited into the new GNC account.”
Miller v. First Bank, 696 S.E.2d 824 (N.C. Ct. App. 2010). · cites it 2× “5 (a), part of the UFTA, provides: A transfer made or obligation incurred by a debtor is fraudulent as to a creditor whose claim arose before the transfer was made or the obligation was incurred if the debtor made the transfer or incurred the obligation without receiving a…”
Norman Owen Trucking, Inc. v. Morkoski, 506 S.E.2d 267 (N.C. Ct. App. 1998). “4 (Conveyances with intent to defraud creditors void), and § 39-23.5 (Voluntary conveyance evidence of fraud as to existing creditors) (1997).”
Richard Cook v. United States, 27 F.4th 960 (4th Cir. 2022). “” N.C. Gen. Stat. § 39-23.5 (a) (discussing fraudulent obligation when the obligation was incurred “without receiving a reasonably equivalent value in exchange”).”
Maloney v. All. Dev. Grp., L.L.C., 2006 NCBC 11 (N.C. Bus. Ct. 2006). · cites it 6× “N.C.G.S. § 39-23.5(a). {33} In an action for relief under the UFTA: [A] creditor .”
Houey v. Carolina First Bank, 890 F. Supp. 2d 611 (W.D.N.C. 2012). · cites it 2× “N.C. Gen. Stat. § 39-23.5 (a). Intervention by Smith may well be futile but most certainly would be prejudicial to TD at this juncture of the litigation.”
Show all 39 citing cases →
— N.C. Gen. Stat. § 39-23.5(a) — 14 cases
Starnes v. Comm'r, 680 F.3d 417 (4th Cir. 2012). “We begin with the first of the three NCUFTA provisions relied on by the Commissioner: N.C. Gen.Stat. § 39-23.5. That subsection provides in pertinent part that a "transfer" made by a debtor "is fraudulent as to a creditor whose claim arose before the transfer was made," if the…”
KB Aircraft Acquisition, LLC v. Berry, 790 S.E.2d 559 (N.C. Ct. App. 2016). “Applying the Statute Plaintiff's first cause of action alleges fraudulent transfer in violation of two separate subsections of the UVTA: N.C. Gen. Stat. § 39-23.4 (a)(1) (2015), which creates a cause of action for transfers or obligations voidable as to present or future…”
Fischer Inv. Capital, Inc. v. Catawba Dev. Corp., 689 S.E.2d 143 (N.C. Ct. App. 2009). “According to Plaintiff, such a result would be particularly appropriate given that Defendant Mark Lewis and Defendant Catawba had transferred the Gravestone Property to Defendant Ridgeline in violation of N.C. Gen. Stat. § 39-23.4 (a)(l) and N.C.”
Andrew v. United States, 91 F. Supp. 3d 739 (M.D.N.C. 2015). “” N.C. Gen.Stat. § 39-23.5(a). As a result of the November 28 transfers, GNC transferred $4,932,676 from its existing accounts, and $4,932,676 was deposited into the new GNC account.”
Maloney v. All. Dev. Grp., L.L.C., 2006 NCBC 11 (N.C. Bus. Ct. 2006). “N.C.G.S. § 39-23.5(a). {33} In an action for relief under the UFTA: [A] creditor .”
— N.C. Gen. Stat. § 39-23.5(b) — 4 cases
KB Aircraft Acquisition, LLC v. Berry, 790 S.E.2d 559 (N.C. Ct. App. 2016). “Applying the Statute Plaintiff's first cause of action alleges fraudulent transfer in violation of two separate subsections of the UVTA: N.C. Gen. Stat. § 39-23.4 (a)(1) (2015), which creates a cause of action for transfers or obligations voidable as to present or future…”
Poulos v. Poulos, 2016 NCBC 71 (N.C. Bus. Ct. 2016).
Mascaro v. Mountaineer Land Grp., LLC, 2006 NCBC 18 (N.C. Bus. Ct. 2006).
Langdon v. WPB Polar Ridge, LLC (In re Polar Ridge, LLC), 526 B.R. 147 (W.D.N.C. 2015).
— N.C. Gen. Stat. § 39-23.5(c) — 1 case
Anderson, Chapter 7 Tr. v. Bennett-Smith (Bankr. M.D.N.C. 2021).
Annotations are extracted automatically from the opinions in the Syfert caselaw corpus and ranked by authority, recency, and treatment. Dots show Syfertize treatment of the citing case itself.