Sec. 2.
(1) A debtor is insolvent if, at a fair valuation, the sum of the debtor's debts is greater than the sum of the debtor's assets.
(2) A debtor that is generally not paying the debtor's debts as they become due other than as a result of a bona fide dispute is presumed to be insolvent. The presumption imposes on the party against which the presumption is directed the burden of proving that the nonexistence of insolvency is more probable than its existence.
(3) As used in this section:
(a) Assets 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.
(b) Debts 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.
History: 1998, Act 434, Imd. Eff. Dec. 30, 1998 ;-- Am. 2016, Act 552, Eff. Apr. 10, 2017
Structure Michigan Compiled Laws
Chapter 566 - Fraudulent Conveyances and Contracts
Act 434 of 1998 - Uniform Voidable Transactions Act (566.31 - 566.45)
Section 566.33 - Transfer for Value.
Section 566.34 - Transfer With Intent to Defraud.
Section 566.35 - Transfer by Debtor as Voidable.
Section 566.36 - Transfer as Perfected; Completion.
Section 566.39 - Claim for Relief; Extinguishment.
Section 566.40 - Debtor's and Qualified Trustee's Location; Jurisdiction.
Section 566.41 - "Protected Series" and "Series Organization" Defined.
Section 566.42 - Principles of Law and Equity as Supplemental Provisions of Act.
Section 566.43 - Application and Construction of Act.