Question

73. The following are the requisites before a contract entered into in fraud of creditors may be rescinded, except:

a) There must be credit existing prior to the celebration of the contract.

b) There must be fraud, or at least, the intent to commit fraud to the prejudice of the creditor seeking rescission.

c) The creditor cannot in any legal manner collect his credit (subsidiary character of rescission)

d) The object of the contract must be legally in the possession of a 3rd person in good faith.

Accepted Answer

Contract Fraud Credit Creditor D Requisites Entered Rescinded