United States Fifth Circuit

In a bankruptcy case, approval of an exemption from the bankruptcy estate for an annuity purchased by debtors one day prior to filing their bankruptcy petition is reversed and remanded where: 1) the purchase of the annuity was not an intentional fraud upon creditors, but the state exemption statute would apply a standard set at something less than intent to defraud to determine whether an exemption should be allowed; and 2) several "badges of fraud" were evident in the purchase, and under the totality of circumstances, the transaction represented a payment made in fraud of a creditor. (Revised opinion)

Appellate Information

• Decided 09/12/2008
• Published 10/01/2008

Judges

• EDITH H. JONES, Chief Judge:, Before JONES, Chief Judge, and WIENER, and CLEMENT, Circuit Judges.

Court

• United States Fifth Circuit

Counsel

• For Appellant:
  
• Timothy L. Wentworth, Cage, Hill & Niehaus, Houston, TX, for Appellant.


• For Appellees:
  
• Ira D. Joffe, Law Offices of David W. Barry, Houston, TX, for Appellees.