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Business Law
Fraudulent Conveyance
Creditor

Shin Yi Lien v. James Chen-Lu, et al.

Published: Aug. 23, 1997 | Result Date: Jun. 20, 1997 | Filing Date: Jan. 1, 1900 |

Case number: BC139483 Verdict –  $1,951,500

Judge

Ronald M. Sohigian

Court

L.A. Superior Central


Attorneys

Plaintiff

Joseph S. Wu

Jason H. Wilson


Defendant

Max C. Chiang

Fred A. Wong


Experts

Plaintiff

George S. Tiffany
(technical)

William J. Michiels
(technical)

Sim C. Hixson
(technical)

Facts

Plaintiff Shin-Yi Lien became judgment creditor of defendant James Chen-Lu for $1.4 million in November 1993. Before Lien's judgment was entered, however, Lu transferred three of his real property holdings to new owners, including his home for $1 million, an apartment building in Palos Verdes for $750,000, and another apartment building in Los Angeles for $1.5 million. Each of the transactions was processed through regular 30/45 escrow, including two properties which were "purchased" by different buyers with bank loans (and thus secured by lender's trust deeds) of $1 million and $500,000 respectively. The plaintiff brought this action against the defendants based on fraudulent conveyance theory of recovery.

Settlement Discussions

The plaintiff made a C.C.P. º998 settlement demand for transfer of all of the defendant/transferees' interests in these properties, reflecting equity value of roughly $1 million after the plaintiff's fees and costs. The defendants made a settlement offer of $200,000 after commencement of trial.

Damages

The plaintiff claimed $1,951,500 in damages.

Other Information

The verdict was reached approximately one year and seven months after the case was filed.

Deliberation

2 days

Poll

12-0

Length

21 days


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