Facts

From 2000 to 2001, John Pappas III was employed with Plaintiff White Space Inc. After his departure, Sheila Von Driska, White Space's president, determined that Pappas had written unauthorized checks and wrongfully used White Space's debit cards to withdraw money from its corporate accounts for his own personal use. Von Driska, who was also Pappas III's friend, had given Pappas III access to White Space's accounts. In 2002, White Space sued Pappas III for fraud and conversion. It sought a constructive trust on the funds that Pappas III had wrongfully obtained as well as on his home. Pappas III had used a portion of the wrongfully-obtained funds to make payments on the home. The court entered a judgment in the amount of $185,433 in favor of White Space. Pappas III did not appear at trial.

After service on Pappas III, he transferred his residence and major assets to his parents (Pappas Jr.), purportedly to satisfy a pre-existing debt. White Space then sued the parents to set aside the alleged fraudulent transfer. The court, Judge Tigar, decided that the purportedly pre-existing debt was fictitious, and set aside the fraudulent conveyance to the extent of $241,063 (the then-value of the judgment against Pappas III). Judgment was entered against Pappas Jr. in that amount. The judgment was subsequently satisfied.

Result

$241,063.