California Codes, Civil Code - CIV, Division 2 — Property, Part 4 — Acquisition of Property, Title 4 — Transfer, Chapter 5 — Unlawful Transfers, Section 1228
No instrument is to be avoided under the last section, in favor of a subsequent purchaser or incumbrancer having notice thereof at the time his purchase was made, or his lien acquired, unless the person in whose favor the instrument was made was privy to the fraud intended.
Notes
Limits avoidance of an instrument in favor of a later purchaser or encumbrancer who had notice of the instrument when acquiring the purchase or lien. Avoidance is available despite that notice only when the person for whose benefit the instrument was made participated in the intended fraud.
Use as reference
Lexinter.net | California Code, Civil Code - CIV § 1228 | https://laws.lexinter.net/codes/california/civil-code/division-2/part-4/title-4/chapter-5/section-1228