# S.D. Codified Laws § 55-16-10: Claim of fraudulent transfer of settlor's assets--Requirements--Discovery--Transfer filing--Substantive rights > South Dakota · Statutes · In force URL: https://www.frixlaw.com/law-library/statutes/STATE_SD_T55_C16_S55-16-10 ## Section - **Citation:** S.D. Codified Laws § 55-16-10 - **Heading:** Claim of fraudulent transfer of settlor's assets--Requirements--Discovery--Transfer filing--Substantive rights - **Jurisdiction:** South Dakota - **Kind:** Statutes - **Status:** In force - **Text as of:** August 14, 2026 - **Source:** Compiled text - **Location:** SD Code / Title 55 / Chapter 16 / Section 55-16-10 ## Text A cause of action or claim for relief with respect to a fraudulent transfer of a settlor's assets under § 55-16-9 is extinguished unless the action under § 55-16-9 is brought by a creditor of the settlor who: (1) Is a creditor of the settlor before the settlor's assets are transferred to the trust, and the action under § 55-16-9 is brought within the later of: (a) Two years after the transfer is made; or (b) Six months after the transfer is or reasonably could have been discovered by the creditor if the creditor: (i) Can demonstrate that the creditor asserted a specific claim against the settlor before the transfer; or (ii) Files another action, other than an action under § 55-16-9 , against the settlor that asserts a claim based on an act or omission of the settlor that occurred before the transfer, and the action described in this sub-subsection is filed within two years after the transfer; or (2) Becomes a creditor subsequent to the transfer into trust, and the action under § 55-16-9 is brought within two years after the transfer is made. In any action described in § 55-16-9 , the burden to prove the matter by clear and convincing evidence is upon the creditor. A person is deemed to have discovered a transfer at the time a public record of the transfer is made, including the conveyance of an interest in real property, which is recorded in the appropriate public filing office where the property is located, the filing of a financing statement pursuant to chapter 57A-9 , or the filing of a bill of sale or other transfer instrument regarding personal property. The filing of a bill of sale or other transfer instrument that conveys personal property to a trust governed by this chapter must be filed in an applicable public filing office. If the transferor is a natural person and is a resident of this state, the personal property transfer instrument must be recorded in the county in this state where the transferor maintains the transferor's principal residence. In all other cases, the personal property transfer instrument must be recorded in the county in this state where the trustee of the trust maintains a principal residence or principal place of business. This section, §§ 55-16-9 , and 55-16-11 to 55-16-13 , inclusive, are inseparably interwoven with substantive rights, and a deprivation of legal rights would result if another jurisdiction's contrary laws and regulations are applied to a claim or cause of action described therein. Source: SL 2005, ch 261, § 10; SL 2008, ch 257, § 17; SL 2012, ch 233, § 16; SL 2016, ch 231, § 24; SL 2017, ch 204, § 22; SL 2026, ch 198, § 7. ## Nearby sections - [S.D. Codified Laws § 55-16-1 Definitions](https://www.frixlaw.com/law-library/statutes/STATE_SD_T55_C16_S55-16-1.md) - [S.D. Codified Laws § 55-16-2 Trust instrument defined](https://www.frixlaw.com/law-library/statutes/STATE_SD_T55_C16_S55-16-2.md) - [S.D. Codified Laws § 55-16-3 Qualified person defined](https://www.frixlaw.com/law-library/statutes/STATE_SD_T55_C16_S55-16-3.md) - [S.D. Codified Laws § 55-16-4 Persons and entities not to be considered qualified person--Appointment, removal, or replacement of co-trustee, trust advisor, or trust protector](https://www.frixlaw.com/law-library/statutes/STATE_SD_T55_C16_S55-16-4.md) - [S.D. Codified Laws § 55-16-5 Service as investment trust advisor--Service as fiduciary by transferor](https://www.frixlaw.com/law-library/statutes/STATE_SD_T55_C16_S55-16-5.md) - [S.D. Codified Laws § 55-16-6 Successor qualified person](https://www.frixlaw.com/law-library/statutes/STATE_SD_T55_C16_S55-16-6.md) - [S.D. Codified Laws § 55-16-7 Disposition to more than one trustee--Qualified disposition even if all trustees are not qualified persons](https://www.frixlaw.com/law-library/statutes/STATE_SD_T55_C16_S55-16-7.md) - [S.D. Codified Laws § 55-16-8 Powers and rights of transferor--Effect on qualified disposition](https://www.frixlaw.com/law-library/statutes/STATE_SD_T55_C16_S55-16-8.md) - [S.D. Codified Laws § 55-16-9 Creditors' actions limited to transfers with intent to defraud](https://www.frixlaw.com/law-library/statutes/STATE_SD_T55_C16_S55-16-9.md) - [S.D. Codified Laws § 55-16-10 Claim of fraudulent transfer of settlor's assets--Requirements--Discovery--Transfer filing--Substantive rights](https://www.frixlaw.com/law-library/statutes/STATE_SD_T55_C16_S55-16-10.md) - [S.D. Codified Laws § 55-16-11 Disposition by transferor who is a trustee--Time of disposition](https://www.frixlaw.com/law-library/statutes/STATE_SD_T55_C16_S55-16-11.md) - [S.D. Codified Laws § 55-16-12 Creditor or other person--Rights with respect to a qualified disposition--Action against trustee, advisor, or trust preparer prohibited](https://www.frixlaw.com/law-library/statutes/STATE_SD_T55_C16_S55-16-12.md) - [S.D. Codified Laws § 55-16-13 Action against trustee, advisor, or preparer of trust prohibited if action by creditor would be barred--Jurisdiction--Attorneys' fees and costs](https://www.frixlaw.com/law-library/statutes/STATE_SD_T55_C16_S55-16-13.md) - [S.D. Codified Laws § 55-16-14 Multiple qualified dispositions in same trust instrument](https://www.frixlaw.com/law-library/statutes/STATE_SD_T55_C16_S55-16-14.md) --- Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_SD_T55_C16_S55-16-10. Check the current official text before relying on it. Not legal advice.