28 U.S.C. § 3103 : US Code - Section 3103: Receivership

Search 28 U.S.C. § 3103 : US Code - Section 3103: Receivership

(a) Appointment of a Receiver. - If the requirements of section
3101 are satisfied, a court may appoint a receiver for property in
which the debtor has a substantial nonexempt interest if the United
States shows reasonable cause to believe that there is a
substantial danger that the property will be removed from the
jurisdiction of the court, lost, concealed, materially injured or
damaged, or mismanaged.
(b) Powers of Receiver. - (1) The appointing court may authorize
a receiver -
(A) to take possession of real and personal property and sue
for, collect, and sell obligations upon such conditions and for
such purposes as the court shall direct; and
(B) to administer, collect, improve, lease, repair or sell
pursuant to section 3007 such real and personal property as the
court shall direct.
A receiver appointed to manage residential or commercial property
shall have demonstrable expertise in the management of these types
of property.
(2) Unless expressly authorized by order of the court, a receiver
shall have no power to employ attorneys, accountants, appraisers,
auctioneers, or other professional persons.
(c) Duration of Receivership. - A receivership shall not continue
past the entry of judgment, or the conclusion of an appeal of such
judgment, unless the court orders it continued under section
3203(e) or unless the court otherwise directs its continuation.
(d) Accounts; Requirement to Report. - A receiver shall keep
written accounts itemizing receipts and expenditures, describing
the property and naming the depository of receivership funds. The
receiver's accounts shall be open to inspection by any person
having an apparent interest in the property. The receiver shall
file reports at regular intervals as directed by the court and
shall serve the debtor and the United States with a copy thereof.
(e) Modification of Powers; Removal. - On motion of the receiver
or on its own initiative, the court which appointed the receiver
may remove the receiver or modify the receiver's powers at any
time.
(f) Priority. - If more than one court appoints a receiver for
particular property, the receiver first qualifying under law shall
be entitled to take possession, control, or custody of the
property.
(g) Compensation of Receivers. - (1) A receiver is entitled to
such commissions, not exceeding 5 percent of the sums received and
disbursed by him, as the court allows unless the court otherwise
directs.
(2) If, at the termination of a receivership, there are no funds
in the hands of a receiver, the court may fix the compensation of
the receiver in accordance with the services rendered and may
direct the party who moved for the appointment of the receiver to
pay such compensation in addition to the necessary expenditures
incurred by the receiver which remain unpaid.
(3) At the termination of a receivership, the receiver shall file
a final accounting of the receipts and disbursements and apply for
compensation setting forth the amount sought and the services
rendered by the receiver.