Colorable transaction

{
  "id": "MLC-T-LAW-001074",
  "term": "Colorable transaction",
  "field": "Law",
  "definition": "A transaction that appears legitimate and legally valid on its face but is in reality intended to conceal an illegal purpose or to defraud. The outward form of the transaction is a pretense, designed to hide its true, improper nature. For instance, a sale of property for a nominal price to a family member to shield assets from creditors is a colorable transaction that a court can set aside as a fraudulent conveyance.",
  "url": "https://mlchart.com/terminology/law/colorable-transaction/"
}