court receiver contract being signed

Provisional Director Sacramento

A provisional director has all the rights and powers of a director until the deadlock in the board or among members is broken or until such provisional director is removed by order of the court or by approval of a majority of all members.

Who We Work With

We work with California attorneys seeking to break a deadlock connection with a corporate dispute where the corporation’s business can no longer be conducted to advantage or there is a risk that its property and business will be impaired or lost pursuant to California Corporations Code Section 308.

A court receiver listening to one of its members talking

Qualifications of a Provisional Director

Per statute, the provisional director must be an “impartial person”. He/she may not be a (1) shareholder of the corporation; (2) a creditor of the corporation or (3) related by consanguinity or affinity within the third degree according to the common law to any of the other directors of the corporation or to any judge of the court by which such provisional director is appointed.

Uses of a Provisional Director

A provisional director may be an alternative to the appointment of receiver. As an impartial person, the provisional director is entitled to be compensated and the applicable order should set forth the manner of termination. The director must analyze the issues in dispute, be prepared for disagreement and make an informed and learned decision as to how to vote.

D&O Insurance

Unlike a receiver, a provisional director does not enjoy quasi-judicial immunity; therefore, it may be wise to ensure that directors and officers’ insurance is in place and that such insurance will cover the provisional director in the event of a claim.

A Successful Provisional Director

A successful provisional director will perform the necessary research allowing for a thoughtful, rational, appropriate and supportable vote on one or more disputed issues. The director should also attempt to resolve as many areas of dispute as possible until such time as he/she is removed by the court pursuant to Sections 308(c) and 5225(e) which states that the director serves until such time as the board deadlock is broken or until he/she is removed by court order.

ABC's of a Provisional Director Sacramento

There are a variety of circumstances that are appropriate for the use of a provisional director.

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Clients Who Trusted Us

As an attorney representing secured creditors who provide C&I loans, I have needed to seek the appointment of a receiver due to loan defaults. Stephen Donell, Receiver, is a take-charge, dependable and results-oriented professional with whom we have a long-standing history. We highly recommend his services as receiver to other lenders and creditors.

Attorney, San Francisco CA
San Francisco, CA

As lenders’ counsel, our firm has worked with FedReceiver, Inc. for many years in connection with real property defaults and several cases involving the appointment of a Receiver. Mr. Donell and his team have distinguished themselves as knowledgeable and effective court appointed receivers.

Attorney, Los Angeles CA
Beverly Hills, CA

Our firm has had multiple opportunities to work with the professionals at FedReceiver and the results have been extremely positive in all of our partition referee and receivership matters.

Attorney, Los Angeles CA
Los Angeles, CA

I have worked with Stephen Donell in multiple cases where he was appointed as receiver over assets secured by loans originated from our lending institution. Mr. Donell’s expertise and experience have been invaluable in the protection of the bank’s loan security.

Lender, Orange County CA
Orange County, CA

Mr. Donell has served as court-appointed Receiver in multiple matters in connection with partnership litigation filed by our firm. Mr. Donell has demonstrated his knowledge regarding asset preservation, forensic investigations, and fiduciary duty violations, and his actions have resulted in positive results for my clients’ interests.

Attorney, Los Angeles CA
Los Angeles, CA

Locations Served

We provide provisional director services in California.

Las Vegas, Carson City, Clark, Douglas, Elko and Washoe County

Phoenix, Gila, Maricopa, Mohave and Pima County

How we work together

Our experience, expertise, training and resources are utilized to effectuate a successful provisional directorship.

Reach out

Reach out to us via our contact page.

Set an Appointment

An initial call will allow for an initial assessment of the proposed case.

Sample Pleadings & Orders

FedReceiver has a vast library of exemplars including motions seeking appointment of provisional director, orders appointing provisional director and memorandum of points & authorities.


We offer excellent references with local and national law firms, accounting firms and clients.

Court Experience

Given our decades of experience and hundreds of cases, we have appeared in state/federal court and have excellent relationships with numerous courts/judges.

Review the chapter authored by Mr. Donell

Reviving the financially distressed business book by written by Receiver Stephen Donell, CCIM, CPM

Reviving the Financially Distressed Business

Reviving The Financially Distressed Business is the essential guide for business owners and corporate leaders whose companies are under—or anticipating—financial difficulties. See Chapter 11, Receiverships, written by Court Receiver Stephen Donell, CCIM, CPM

Steve Donell’s contribution to the book “Reviving a Financially Distressed Business” reflects not only his expertise as a receiver, but his sound judgment on how receivership can be used to effectively advance a financially troubled business.” 

– Brian Davidoff, Esq. Author and Editor

About our provisional managers & directors

Complex corporate, partnership and LLC disputes may require appointment of provisional members.

Our professional have been appointed as provisional directors and managers with all the rights, duties and powers of directors, officers and members pursuant to applicable code sections including under Cal. Code. Civ. P. § 564(b)(9).

Stephen J. Donell L

President of FedReceiver, Inc., Jalmar Properties, Inc. and Donell Expert Services, Inc.

Todd D. Donell Los Angeles

Executive Vice President of FedReceiver, Inc. and Jalmar Properties, Inc.

James H. Donell Los Angeles

Founder and CEO of FedReceiver, Inc. and Jalmar Properties, Inc.

Sarah R. Bates Los Angeles

Vice President of FedReceiver, Inc. and Jalmar Properties, Inc.

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Get in Touch with a Provisional Director in Sacramento Today