Part 1.00 Receivers
A. A receiver shall in all cases be a resident of this State or a corporation authorized to act as receiver, which corporation may be a domestic corporation or a foreign corporation authorized to transact business in this state, and shall give such bond as the Court may direct with such sureties as the Court may require.
B. Except as provided in Section C of this Rule or any applicable statute, an appointment as receiver shall not be granted to an individual, or to a corporation having a principal officer who:
1. is related by blood or marriage to a party or attorney in the action or to a Judge presiding in the matter;
2. is an attorney for, or of counsel for any party in the action;
3. is an officer, director, stockholder, or employee of a corporation the assets of which are in question; or
4. stands in any relation to the subject of the controversy that would tend to interfere with the impartial discharge of his duties as an officer of the Court.
C. If the Court is satisfied that the best interests of the parties would be served, an individual or corporation otherwise disqualified under Section B of this Rule may be appointed as receiver by an Order specifically setting forth the reason for departing from the general rule. A receiver so appointed shall serve wholly without compensation, unless otherwise ordered by the Court upon good cause shown.
D. An attorney for the receiver shall be employed only upon Order of the Court based upon written Motion of the receiver stating the reasons for the requested employment and naming the attorney to be employed. No attorney shall be employed for the receiver who is directly or indirectly interested in the action or in the receivership estate. The Court may require upon the request of any party, that any attorney so employed establish, by affidavit or otherwise, that no such interest exists.
E. A Petition for the appointment of a receiver shall set forth sufficient facts to warrant the appointment; mere conclusions will not suffice.
F. The Petition for the appointment of a receiver shall provide for bond to the adverse party in such amount as the Court may order and with security to be approved by the Court conditioned to pay all damages including reasonable attorney’s fees sustained by reason of the appointment and acts of such receiver.
G. Bond need not be required, when for good cause shown, and upon Notice and full hearing, the Court is of the opinion that a receiver ought to be appointed without such bond. The Order appointing the receiver must specifically excuse the bond requirement and set forth facts or the specific reason why bond is not required.
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No later than thirty days after appointment, the receiver shall file with the Court a detailed report and/or inventory of all property, real or personal, of the subject matter under receivership and designating the property within his possession or control. The Court may, within its discretion, grant additional time for the filing of the inventory. Unless the Court orders otherwise, the receiver shall file with the required inventory a list of the then known liabilities of the subject matter under receivership. No inventory shall be required of a receiver in mortgage foreclosure cases except when ordered by the Court.
A. Appraisers for receivers may be appointed only upon Order of Court or agreement of the parties with the approval of the Court. If appraisers are appointed, they shall be selected by the Court.
B. If no appraiser is appointed, the receiver shall investigate the value of the property subject to the receivership, and show in the inventory the value of the several items listed as disclosed by the investigation. No investigation of value or inventory is required in mortgage foreclosure cases except when ordered by the Court.
A. The receiver shall file the first report at the time of filing his inventory, if required, and additional reports annually thereafter. Special reports may be ordered by the Court and a final report shall be filed upon the termination of the receivership.
B. The Court may prescribe forms to be used for reports of a receiver.
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