In the case of Official Committee of Unsecured Creditors of TOUSA, Inc. v. Citicorp North America, Inc. (In re TOUSA, Inc.), the Bankruptcy Court for the Southern District of Florida issued a decision upholding various fraudulent conveyance claims brought by the Creditors’ Committee against TOUSA’s lenders. This memo analyzes the decision and discusses the lessons to be learned by lenders and other entities doing business with financially distressed companies about fraudulent conveyance risks.