By: WISCONSIN LAW JOURNAL STAFF//October 19, 2010//
Debtor-Creditor
UFTA; punitive damages
Punitive damages are not recoverable under the Uniform Fraudulent Transfers Act.
“[T]he general rule in Wisconsin is that there can be no punitive damages without compensatory damages.
Nothing in the Uniform Fraudulent Transfers Act changes this principle of law. The legislature is presumed to know the state of the law when it enacts or amends legislation. Eau Claire Cnty. v. General Teamsters Union Local No. 662, 228 Wis. 2d 640, 646, 599 N.W.2d 423 (Ct. App. 1999). In enacting the Uniform Fraudulent Transfers Act, the legislature could have provided an exception to the compensatory damages requirement for punitive damages, if it intended that result. Because the legislature did not do so, we conclude punitive damages are not available under the Act.”
Reversed.
Recommended for publication in the official reports.
2009AP2420 C & A Investments v. Kelly
Dist. III, Eau Claire County, Lenz, J., Peterson, J.
Attorneys: For Appellant: Waterman, R. Michael, Hudson; For Respondent: Jacobson, Michael, River Falls; Herrell, Peter F., Eau Claire