Patterson

Plaintiffs, as creditors of Wright Refrigeration, Inc., hereinafter referred to as Wright, brought this action against the latter to recover on claims totalling $14,423.79, and against both Wright and defendant Missler to set aside a conveyance of real property by Wright to Missler allegedly fraudulent under the Uniform Fraudulent Conveyance Act. (Civ. Code, §§ 3439.01-3439.12.) The fraudulent conveyance cause of action, as stated in the original complaint, was premised upon the allegation that the conveyance was made by Wright while insolvent without a “fair consideration.” After trial, permission was granted to amend the complaint by adding an additional allegation that at the time of the conveyance Wright was engaged in a business for which the property remaining in its “hands” after the conveyance was an unreasonably small capital. Plaintiffs prevailed. Missler appealed.

The fraudulent conveyance cause of action, as alleged in the complaint and the amendment thereto, was predicated upon two code sections, viz., (1) Civil Code section 3439.04, which provides: ‘ Every conveyance made ... by a person who is or will be thereby rendered insolvent is fraudulent as to creditors…