(a) The court may not appoint a person as receiver unless the person submits to the court a statement under penalty of perjury that the person is not disqualified.
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Terms Used In Tennessee Code 29-40-107

  • Affiliate: means :
    (A) With respect to an individual:
    (i) A companion of the individual. See Tennessee Code 29-40-102
  • Court: means a chancery court in this state. See Tennessee Code 29-40-102
  • Person: means an individual. See Tennessee Code 29-40-102
  • 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 chapter or court order, transfer, sell, lease, license, exchange, collect, or otherwise dispose of receivership property. See Tennessee Code 29-40-102
  • Receivership: means a proceeding in which a receiver is appointed. See Tennessee Code 29-40-102
(b) Except as otherwise provided in subsection (c), a person is disqualified from appointment as receiver if the person:

(1) Is an affiliate of a party;
(2) Has an interest materially adverse to an interest of a party;
(3) Has a material financial interest in the outcome of the action, other than compensation the court may allow the receiver;
(4) Has a debtor-creditor relationship with a party; or
(5) Holds an equity interest in a party, other than a noncontrolling interest in a publicly-traded company.
(c) A person is not disqualified from appointment as receiver solely because the person:

(1) Was appointed receiver or is owed compensation in an unrelated matter involving a party or was engaged by a party in a matter unrelated to the receivership;
(2) Is an individual obligated to a party on a debt that is not in default and was incurred primarily for personal, family, or household purposes; or
(3) Maintains with a party a deposit account as defined in § 47-9-102(a).
(d) A person seeking appointment of a receiver may nominate a person to serve as receiver, but the court is not bound by the nomination.
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