What action can a court take regarding transfers made to avoid equitable distribution?

When considering transfers made specifically to avoid equitable distribution, the court has the authority to set aside such transfers. This action is grounded in the principle that courts must ensure fair distribution of marital property during divorce proceedings. If a party attempts to conceal assets or transfer them to evade equitable distribution, the court can view this behavior as an attempt to undermine the integrity of the judicial process.

Setting aside the transfer allows the court to restore the asset back to the marital estate for purposes of equitable distribution. By doing so, the court protects the rights of the other party and upholds the legal framework designed to ensure fairness in property division. This aligns with the overarching goal of the court to provide a just resolution to asset division in divorce cases.

Other actions, such as penalizing the transferring party or ignoring the transfer, may not effectively address the problem of asset concealment or avoidance, thereby undermining the equitable distribution process. Such an approach would allow parties to manipulate the asset distribution to their advantage rather than ensuring a fair and equitable outcome.