The Main Difference Between a Transfer at Undervalue and a Preference

question 57

Multiple Choice

The main difference between a transfer at undervalue and a preference is that

• A)a transfer at undervalue involves an assignment, whereas a preference only involves a proposal.
• B)a transfer at undervalue involves a transfer of property by the debtor for little or no value, whereas a preference gives preferential treatment to a particular creditor.
• C)a transfer at undervalue involves a payment of money, whereas a preference involves other types of property.
• D)a transfer at undervalue involves the Bankruptcy Court, whereas a preference involves the trustee.
• E)a transfer at undervalue must be in writing, but a preference can be done orally or by conduct.

---

Definitions:

Distributed

Spreading out resources or processes across multiple locations or over a network, often relating to computing or organizational strategies.

Health Care Proxy

A document that empowers an agent to make medical decisions for a principal who is unable to make those decisions for himself or herself.

Agent

A party who has the authority to act on behalf of and bind another party.

Document

A written, drawn, presented, or memorialized representation of thought, often used as evidence or in official proceedings.