Types of Court Receivers
There are a variety of types of court receivers. State & Federal Courts have the power to appoint limited purpose and equity receivers. These include receiverships involving secured creditors, investors, consumers, spouses, judgment creditors, to sell liquor licenses, Health & Safety, cannabis, business dispute matters, corporate insolvency, unlawful detainer, criminal matters involving restitution and for other specialized purposes. A receiver appointed in connection with a defaulted real estate loan is known as a Rents & Profits Receiver. A receiver appointed over an entity is known as an Equity Receiver. Here we will introduce you to the different types of court receivers and what they do. Contact us to learn more and find out how our many types of court receivers can help you.
Real Estate Receiver
Arising out of the enforcement of a deed of trust or mortgage, a receiver may be appointed to take possession of real property in order to protect and preserve the asset and to secure and collect rents during a judicial foreclosure action. Property types include office, industrial, multifamily, residential, retail, self-storage, RV parks and other specialty properties.
SEC, FTC, CFTC Receiver
For over 25 years, our receivers have administered cases involving government enforcement actions encompassing more than 25,000 defrauded investors/creditors, and more than $1 billion in investor funds raised worldwide through Ponzi schemes and other fraudulent investment vehicles.
Business Receiver
A receiver may be appointed to take possession of loan collateral, ultimately leading to potential sale, liquidation and/or turnaround of the business.
Judgment Enforcement Receiver
A remedy available to judgment creditors is to seek the appointment of a receiver in aid of execution of a judgment. Post judgment receivers can take many steps to collect a judgment. These steps typically include liquidation of the judgment debtor’s assets to satisfy the judgment creditor’s claim.
Partnership Dispute Receiver
Our receivers enforce charging orders for the collection of money against partnership interests
Gas Station Receiver
Affiliate Petroleum Capital Advisors provides full-service real estate/business management, legal services geared toward petroleum/c-store and/or car wash assets, and brokerage services.
Healthcare Receiver
Properties such as senior housing, assisted living communities, Alzheimer and dementia care facilities operate as certified Residential Care Facilities for the Elderly (RCFE). Our receivers help protect these business operations and ensure that they comply with the Community Care Licensed Division (CCLD), a division of the Health and Human Services Agency Department of Social Services.
Hospitality Receiver
FedReceiver, Inc. and team member Traub & Associates provide receivership, asset management and consulting services for distressed hotel and hospitality properties throughout the United States. With substantial combined experience in the administration of court-appointed receivership cases as well as full-service asset management for hospitality properties, FedReceiver and Traub have the combined resources to react to the current challenges facing hospitality industry owners and lenders.
Construction Completion Receiver
Our receivers successfully completed the construction and sale of hundreds of properties including single family residential, improved residential subdivision lots, residential condominiums, and commercial office buildings. Our team handles and/or oversees all aspects of entitlements, permitting, construction completion, insurance, and the court-approved sale of the properties.
Marital Dissolution - Divorce Receiver
Receivers can be utilized in highly contentious divorce cases where the assets include real estate, businesses, personal property, securities, intellectual property, or other disputed assets.
Types of Court Receiver FAQs
What are the powers of a court receiver?
The receiver has the power to take possession of the receivership assets as defined in the order appointing the receiver. This may also include business personal property, computers, documents, records, leases, contracts, mail, intellectual property, accounts receivables, and other property of the business. the receiver may also be appointed as a tiebreaker over a business. This may include being appointed as a provisional manager of a business. Learn more.
How are court receivers appointed?
In California, a receiver is appointed by the court when one party in a lawsuit files a motion seeking the appointment of a receiver. Receivers are appointed pursuant to court order. Different courts and different judges have different rules and procedures related to the appointment of a receiver. The facts and circumstances dictate which method is utilized.
There are 3 primary ways a judge considers appointing receivers, including a Los Angeles real estate receiver or a Los Angeles partition referee. Learn more.
When may a California receiver be appointed by the court?
A California court-appointed receiver may be appointed pursuant to the State of California Code of Civil Procedure 564. This code identifies the following circumstances under which the court may seek the appointment of a receiver. Read more.
How do California court-appointed receivers get paid?
In California, the court receiver is entitled to seek compensation. This is pursuant to California Rules of Court, rules 3.1183, 3.1184. Typically, the order appointing the receiver will set forth the procedures whereby the receiver may be compensated. Often, a receiver must circulate a notice of intent to pay fees along with a copy of the receiver’s invoice providing reasonable detail of work performed. Any party has an opportunity to object to the receivership fees and the receiver should not pay such fees prior to the objection period expiring. Read more.
What is a California court-appointed real estate receiver?
The receiver protects the property and manages it consistent with industry standards or pursuant to a court order. The appointment of the receiver does not impact how the title is held, nor does it impact the existence of a priority of liens against the property.
Pursuant to California Code of Civil Procedure Section 564, the appointment of a receiver is a provisional remedy and it is not a cause of action, other than in connection with seeking to dissolve a corporation, in which case a receiver’s appointment is a cause of action.
A court receiver is a useful tool to preserve, maintain and hopefully enhance the value of the real estate. This benefits the property owners as well as the creditors. Learn more.
What is the property of the receivership estate?
The property of the receivership estate will generally be identified in the order to appoint a receiver. However, more specifically, the property and/or assets of the receivership estate may be made up of:
- books and records
- accounts receivables, cash, and securities
- real property and intellectual property
- claims against 3rd parties
- licenses
- bank accounts, business personal property, equipment, vehicles, and inventory
- and insurance policies.
Can a court receiver sell property?
California law permits the sale of real estate out of receivership. California Code of Civil Procedure 568.5 authorizes the receiver to sell property upon the notice and in the manner prescribed by Article 6 of Chapter 3 of Division 2 of Title 9. The sale is not final until confirmed by the court. Learn more.
How does a California real estate receiver sell real property?
The receiver must use reasonable care to sell the property at or above market rates. A fire sale at a below-market rate would be contrary to the duties and obligations of a receiver. However, many conditions will affect the value of the real estate including leases, maintenance, ability to finance, age, location, market conditions, and aesthetics. Before real estate may be sold by a receiver, the court must confirm the sale through a confirmation hearing. Once there is court approval on the request to confirm the sale, a notice of ruling is circulated, and the 60-day appeal period will begin. After the expiration of the 60-day period, title insurance may be obtained, and escrow may be closed thereafter. Learn more.
What is a California Court Partition Referee?
A partition referee is appointed in connection with the filing of a lawsuit involving the partition of real property. After an interlocutory judgment is obtained, a partition referee may be appointed. The partition referee takes possession in order to sell the property pursuant to the court order. Read more.
