Minnesota has had several major cases involving fraudulent transfers. One case close to point deals with the drastic implications of attempting to take advantage of a bankruptcy proceeding.
In Tveten, the debtor had 19 million dollars of debt owed to creditors. On the eve of bankruptcy, he transferred his remaining $700,000 from non-exempt to exempt assets as allowed under MN State law. In re Tveten, 402 N.W.2d 551 (Minn. 1987). The bankruptcy court determined that while the debtor did not violate the statute of transferring assets he acted in bad faith. Thus he lost his opportunity for a complete discharge under Ch. 11.
In In re Estate of butler, a recent ruling by the Minnesota Supreme Court held that clear and convincing evidence is required to overcome statutory presumption in favor of survivorship rights for joint bank accounts under the Multiparty Accounts Act. In re Est. of Butler, 803 N.W.2d 393 (Minn. 2011).