Michigan Laws 554.1022 – Powers and duties of receiver
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Terms Used In Michigan Laws 554.1022
- Contract: A legal written agreement that becomes binding when signed.
- Court: means the circuit court. See Michigan Laws 554.1012
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
- Owner: means the person for whose property a receiver is appointed. See Michigan Laws 554.1012
- Person: means an individual, estate, business or nonprofit entity, public corporation, government or governmental subdivision, agency, or instrumentality, or other legal entity. See Michigan Laws 554.1012
- Proceeds: means any of the following property:
(i) Whatever is acquired on the sale, lease, license, exchange, or other disposition of receivership property. See Michigan Laws 554.1012Property: means all of a person's right, title, and interest, both legal and equitable, in real property, personal property, and fixtures tangible and intangible, wherever located and however acquired. See Michigan Laws 554.1012 Real property: Land, and all immovable fixtures erected on, growing on, or affixed to the land. Receiver: means a person appointed by the court as the court's agent, and subject to the court's direction, to take possession of, manage, and, if authorized by this act or court order, transfer, sell, lease, license, exchange, collect, or otherwise dispose of receivership property. See Michigan Laws 554.1012 Receivership: means a proceeding in which a receiver is appointed. See Michigan Laws 554.1012 Receivership property: means the property of an owner that is described in the order appointing a receiver or a subsequent order. See Michigan Laws 554.1012 State: means a state of the United States, the District of Columbia, Puerto Rico, the United States Virgin Islands, or any territory or insular possession subject to the jurisdiction of the United States. See Michigan Laws 554.1012 Subpoena: A command to a witness to appear and give testimony.
(1) Except as limited by court order or applicable law, a receiver may do all of the following:
(a) Collect, control, manage, conserve, and protect receivership property.
(b) Operate a business constituting receivership property, including preservation, use, sale, lease, license, exchange, collection, or disposition of the property in the ordinary course of business.
(c) In the ordinary course of business, incur unsecured debt and pay expenses incidental to the receiver’s preservation, use, sale, lease, license, exchange, collection, or disposition of receivership property.
(d) Assert a right, claim, cause of action, or defense of the owner that relates to receivership property.
(e) Seek and obtain instruction from the court concerning receivership property, exercise of the receiver’s powers, and performance of the receiver’s duties.
(f) On subpoena, compel a person to submit to examination under oath, or to produce and permit inspection and copying of designated records or tangible things, with respect to receivership property or any other matter that may affect administration of the receivership.
(g) Engage a professional as provided in section 15.
(h) Apply to a court of another state for appointment as ancillary receiver with respect to receivership property located in that state.
(i) Exercise any power conferred by court order, this act, or law of this state other than this act.
(2) With court approval, a receiver may do any of the following:
(a) Incur debt for the use or benefit of receivership property other than in the ordinary course of business.
(b) Make improvements to receivership property.
(c) Use or transfer receivership property other than in the ordinary course of business as provided in section 16.
(d) Adopt or reject an executory contract of the owner as provided in section 17.
(e) Pay compensation to the receiver as provided in section 21, and to each professional engaged by the receiver as provided in section 15.
(f) Recommend allowance or disallowance of a claim of a creditor as provided in section 20.
(g) Make a distribution of receivership property as provided in section 20.
(3) A receiver shall do all of the following:
(a) Prepare and retain appropriate business records, including a record of each receipt, disbursement, and disposition of receivership property.
(b) Account for receivership property, including the proceeds of a sale, lease, license, exchange, collection, or other disposition of the property.
(c) File with the appropriate real property recording office a copy of the order appointing the receiver and, if a legal description of the real property is not included in the order, the legal description.
(d) Disclose to the court any fact arising during the receivership that would disqualify the receiver under section 7.
(e) Perform any duty imposed by court order, this act, or law of this state other than this act.
(4) The powers and duties of a receiver may be expanded, modified, or limited by court order on reasonable notice as determined by the court.