The 2023 Florida Statutes (including Special Session C)

Title XXXVII
INSURANCE

Chapter 631
INSURER INSOLVENCY; GUARANTY OF PAYMENT

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F.S. 631.261

631.261 Voidable transfers.—

(1)(a) Any transfer of, or lien upon, the property of an insurer or affiliate which is made or created within 4 months prior to the commencement of any delinquency proceeding under this chapter which gives any creditor of the insurer a preference or enables the creditor to obtain a greater percentage of her or his debt than any other creditor of the same class shall be voidable.

(b) Any transfer of, or lien upon, the property of an insurer or affiliate which is made or created between 4 months and 1 year prior to the commencement of any delinquency proceeding under this chapter is void if such transfer or lien inured to the benefit of a director, officer, employee, stockholder, member, subscriber, affiliate, managing general agent, or insider or any relative of any director, officer, employee, stockholder, member, subscriber, affiliate, managing general agent, or insider.

(2) Every director, officer, employee, stockholder, member, subscriber, and any other person acting on behalf of such insurer who shall be concerned in any such act or deed and every person receiving thereby any property of such insurer or affiliate or the benefit thereof shall be personally liable therefor and shall be bound to account to the department.

(3) The department as receiver in any proceeding under this chapter may avoid any transfer of, or lien upon, the property of an insurer which any creditor, stockholder, subscriber, or member of such insurer or affiliate might have avoided and may recover the property so transferred unless such person was a bona fide holder for value prior to the date of commencement of a delinquency proceeding under this chapter. Such property or its value may be recovered from anyone who has received it except a bona fide holder for value as herein specified.

(4) For purposes of this section, a transfer is not made or created until the insurer or affiliate has acquired rights in the property transferred.

History.—s. 742, ch. 59-205; ss. 13, 35, ch. 69-106; s. 809(1st), ch. 82-243; s. 11, ch. 89-360; ss. 187, 188, ch. 91-108; s. 4, ch. 91-429; s. 403, ch. 97-102; s. 34, ch. 2004-374.

F.S. 631.261 on Google Scholar

F.S. 631.261 on Casetext

Amendments to 631.261

Arrestable Offenses / Crimes under Fla. Stat. 631.261

Level: Degree
Misdemeanor/Felony: First/Second/Third

Current data shows no reason an arrest or criminal charge should have occurred directly under Florida Statute 631.261.

Annotations, Discussions, Cases:

Cases from cite.case.law:

STATE DEPARTMENT OF FINANCIAL SERVICES v. BRANCH BANKING AND TRUST COMPANY, v., 40 So. 3d 829 (Fla. Dist. Ct. App. 2010)

. . . allege any right to retain the funds, assets, or other property pursuant to s. 631.155, s. 631.191, s. 631.261 . . .

LIDSKY P. A. v. FLORIDA DEPARTMENT OF INSURANCE, Co., 643 So. 2d 631 (Fla. Dist. Ct. App. 1994)

. . . See §§ 631.261-631.263. . . .

STATE DEPARTMENT OF INSURANCE, v. B. BLACKBURN,, 633 So. 2d 521 (Fla. Dist. Ct. App. 1994)

. . . Counts X through XIV and XVI assert claims under sections 631.261(1), 631.262(1) and 631.399, Florida . . . A receiver is also authorized to assert claims under sections 631.261(1), 631.262(2) and 631.399 that . . . Appellants argue that all of the elements of a cause of action under section 631.261(1) were pled in . . . Section 631.261(1) operates to void transfers made within four months prior to the commencement of any . . .

NOVA INSURANCE GROUP, INC. v. FLORIDA DEPARTMENT OF INSURANCE,, 606 So. 2d 429 (Fla. Dist. Ct. App. 1992)

. . . Should the person allege any right to retain the funds pursuant to s. 631.155, s. 631.191, s. 631.261 . . .

MALL BANK, v. STATE DEPARTMENT OF INSURANCE, 462 So. 2d 519 (Fla. Dist. Ct. App. 1985)

. . . Subsection (3) of Section 631.261, Florida Statutes, “Voidable transfers,” provides: (3) The department . . . Pursuant to said Section 631.261(3), the Department then filed a petition in Leon County Circuit Court . . . Receiver based on the guaranty agreement which the Receiver is seeking to void pursuant to section 631.261 . . .