California Court of Appeal, Fourth District, First Division
APPEAL from a judgment of the Superior Court of San Diego County, Randa Trapp, Judge. Affirmed. (Super. Ct. No. 37-2007-00075627-CU-NP-CTL).
[Copyrighted Material Omitted]
[167 Cal.Rptr.3d 875] John J. Freni for Plaintiff and Appellant.
No appearance for Defendant and Respondent.
Mario Renda appeals the judgment he obtained against Ana Luisa Nevarez setting aside certain fraudulent transfers she made after he obtained a money judgment against her in a prior action. Renda contends he is entitled to a personal judgment against Nevarez for the amount of the transfers. We disagree and affirm the judgment.
Renda obtained a judgment for $817,429.55 against Nevarez in a prior action for fraud, breach of contract, and negligence. Nevarez did not pay the judgment, and Renda learned she was transferring assets to various sham entities. He therefore filed the instant action against Nevarez, the sham entities, and other defendants. Renda asserted a single cause of action under the Uniform Fraudulent Transfer Act (UFTA; Civ.Code, §§ 3439-3439.12),  in which he alleged Nevarez made the transfers to hinder, delay, and defraud him in collecting on the judgment he obtained against her in the prior action. Renda also alleged the other defendants aided and abetted or conspired with Nevarez to hinder, delay, or defraud him by accepting or facilitating the fraudulent transfers. Renda sought judgment voiding the transfers and also awarding him damages, attorney fees, costs, and interest.
Most of the defendants defaulted, and the case proceeded to a jury trial against Nevarez and three business entities alleged to have aided and abetted or conspired with her in making the fraudulent transfers. The jury returned a special verdict finding Nevarez fraudulently transferred monies to two of the defaulting defendants with the intent to hinder, delay, or defraud Renda; the transfers harmed him; and his " damages" were $450,000. The jury also found against Renda on his aiding and abetting and conspiracy theories.
After the jury returned its verdict, Renda submitted a proposed judgment that would have held Nevarez and the defaulting defendants jointly and severally liable for $450,000. Nevarez objected on the grounds, among others, that the UFTA does not authorize a court to enter a judgment against the debtor for damages in the amount of the fraudulent transfer, and such a judgment would amount to an impermissible double recovery to the creditor. The trial court agreed with Nevarez and denied Renda's request for entry of a [167 Cal.Rptr.3d 876] money judgment against her. The court ...