Melody,who lives in Texas,agrees to "sell" title of all of her assets to her cousin,Erin,for $1.00.The reason Melody sold her possessions was to hide them from creditors.The transfer of assets is an illegal exercise of Melody's ownership rights under the Texas law prohibiting unconscionable contracts.

Question

Quizplus · Accepted Answer

The transfer of assets to hide them from creditors is considered fraudulent conveyance, not an unconscionable contract. Unconscionable contracts are those that are excessively unfair or one-sided, not necessarily fraudulent.

Melody,who Lives in Texas,agrees to "Sell" Title of All of Her