SMS Financial, LLC v Call Center Building, LLC

SMS appealed the denial of its motion for a writ of attachment. The Court affirmed. It held that equitable conversion applied when an executory real estate sales contract can be specifically enforced, that this rule is consistent with how equitable conversion has been treated in Utah case law and serves the intent of the parties, that seller’s creditors have protection as the conversion only happens if the purchase closes, sham contracts can be set aside and creditors can go after seller’s interests and the unfulfilled conditions in Building’s contract did not prevent conversion here because they were for Building’s benefit or waived.