Wiand v. Lee, et al., No. 13-10448 (11th Cir. 2014)Annotate this Case
This case is one of many "clawback" actions initiated by the Receiver to recover profits from investors in a Ponzi scheme run by Arthur Nadel. The Lee Defendants appealed the district court's grant of summary judgment in favor of the Receiver on the Receiver's complaint under Florida Uniform Fraudulent Transfer Act (FUFTA), Fla. Stat. 726.101 et seq. The receiver appealed the denial of prejudgment interest on the profits Lee was ordered to return to the receivership entities. Since the undisputed facts show that Nadel's transfers to the Lee Defendants satisfy all the elements of FUFTA, the district court's grant of summary judgment in favor of the Receiver is due to be affirmed as is the judgment for the Receiver and against the Lee Defendants in the amount of $935,631.51. The court reversed and remanded with instructions for the district court to apply the factors in Blasland, Bouck & Lee, Inc. v. City of N. Miami, to determine whether equitable considerations justify denying or reducing a prejudgment interest award in light of Florida's general rule that prejudgment interest is an element of pecuniary damages.