1.Debts greater than assets.
A debtor is insolvent if the sum of the debtor's debts is greater than all of the debtor's assets at a fair valuation.
[
1985, c. 641, §3 (NEW)
.]
2.Presumption of insolvency.
A debtor who is generally not paying his debts as they become due is presumed to be insolvent.
[
1985, c. 641, §3 (NEW)
.]
3.Partnership insolvency.
A partnership is insolvent under subsection 1 if the sum of the partnership's debts is greater than the aggregate of all
of the partnership's assets at a fair valuation, and the sum of the excess of the value of each general partner's nonpartnership
assets over the partner's nonpartnership debts.
[
1985, c. 641, §3 (NEW)
.]
4.Assets; exclusion.
Assets under this section do not include property that has been transferred, concealed or removed with intent to hinder,
delay or defraud creditors or that has been transferred in a manner making the transfer voidable under this Act.
[
1985, c. 641, §3 (NEW)
.]
5.Debts.
Debts under this section do not include an obligation to the extent it is secured by a valid lien on property of the debtor
not included as an asset.
[
1985, c. 641, §3 (NEW)
.]
SECTION HISTORY
1985, c. 641, §3 (NEW).
Data for this page extracted on 10/16/2012 08:27:10.