Neumeyer

This is an appeal from a judgment for respondents in an action to set aside a conveyance under Civil Code sections 3439-3439.12, the Uniform Fraudulent Conveyance Act. Appellants, judgment of Bill W. Schmidt and Schmidt and Associates, Inc. (herein collectively referred to as Schmidt), seek to set aside a transaction between Schmidt and defendant and respondent Crown Capital Corporation. Crown Funding Corporation of America, also a defendant and respondent, is the successor in interest to Crown Capital Management Corporation by reason of a merger between the two corporations. The respondents will hence be referred to in the singular as Crown.

Fundamentally, this appeal poses the following two questions: (1) Did the court err in its finding after a trial without a jury that Schmidt did not have an actual intent to hinder, delay or defraud his creditors? and; (2) did the court err in failing to find that at the time of the conveyance in question Schmidt was insolvent within the meaning of the Uniform Fraudulent Conveyance Act? We conclude that the court as the trier of fact acted properly with respect to the first of the above-mentioned findings, but that the court erred…