Effect of Giving Debtor Permission to Exercise Control or Use of Property as Security for Any Debt

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Where any property is conveyed, assigned, or mortgaged as security for any debt and permission is given to the debtor to exercise dominion over or to use the property or the proceeds thereof or any part thereof, the giving of such permission shall not cause the conveyance, assignment, or mortgage to be deemed fraudulent or to create a presumption of fraud as to creditors.

(Ga. L. 1952, p. 154, § 1.)

RESEARCH REFERENCES

ALR.

- Conveyance in consideration of future support as fraudulent against creditors, 2 A.L.R. 1438; 23 A.L.R. 584.

Right of secured creditor to have set aside fraudulent transfer of other property by his debtor, 8 A.L.R.4th 1123.


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