Timothy v. Pia, Anderson, Dorius, Reynard & Moss, LLCAnnotate this Case
The Supreme Court dismissed as moot this petition addressing whether a law firm that deposited funds from a client into its trust account was a "transferee" under the Uniform Fraudulent Transfer Act (UFTA), Utah Code 25-6-1 to -14, holding that Petitioners had no remedy under the UFTA because they were no longer creditors.
The district court granted partial summary judgment for Respondents, the law firm and a lawyer, concluding that they were immune from liability on the fraudulent transfer claims because they were not transferees under the UFTA. While the case was pending before the court of appeals, Petitioners allowed the judgment that formed the basis of their fraudulent-transfer claim to expire. The court of appeals affirmed the district court's grant of summary judgment. On appeal, Respondents argued that even if Petitioners were to prevail on the transferee issue, it would not affect their rights because the fraudulent transfer claims became moot when the judgment expired. The Supreme Court agreed and vacated the court of appeals' decision, holding that the case became moot before the court of appeals' opinion issued.