Quit-Claimed before a possible lawsuit

[inquiringmind99]

I quit-claimed on a property (granted off a property to a relative) three months ago. If a mortgagor sues me for a deficiency on another property that foreclosed, can they still go after the property I quit-claimed just because I quit-claimed on it recently? I'm not filing for bankruptcy. Thanks for your help.

 

[JohnMacek]

In California, the creditor can move to have the property put back into your name under an action for fraudulent conveyance. See the Uniform Fraudulent Transfer Act. Most states have adopted this (or something similar).

 

[inquiringmind99]

Does it matter if I didn't really own the property and never paid a cent in the mortgage nor claim income tax on it, nor lived in it? I just did a favor for that relative so they can qualify for the loan. No money was exchanged between me and the relative, in fact, I even paid the transfer fee. What can I do to prevent my creditor from going after this property? How long is the statute of limitation? Thanks.

 

[lwpat]

It would help to prove that the transfer was not fraudlent if you and the relative had entered into a contract prior to you acquiring the property.

 

[inquiringmind99]

Well, there is no written contract, it's was all verbal. We trusted each other, we're very close.