Why would a commercial property Court Appointed Receiver be appointed to manage a property?
There are a number of scenarios that would warrant the need to appoint a commercial property receiver. In most instances, the receiver would be required to effectively manage the property to meet the claims of creditors or otherwise enforce a court order.
How does the commercial property Court Appointed Receiver satisfy the creditor’s claim?
The commercial property Court Appointed Receiver is mandated by law to use his best efforts to preserve the viability of the property while enforcing the court’s order. Often, the receiver brings a fresh management perspective to the commercial property and can effectively implement accounting practices that benefit the property well beyond the receivership period. It is important to note that the receiver is not an agent of the creditor, but an officer of the court, independent of any interested parties.
How does a commercial property Court Appointed Receiver manage real property?
Commercial property Court Appointed Receivers are assigned to manage real property when that property, either through generated income or from sale, is to be used to satisfy a creditor’s claim. If the commercial property is to be sold, the receiver manages the property to preserve its value until the sale is complete. Sometimes the income produced by the property will be applied toward satisfaction of a creditor’s claim and the receiver’s job is to collect income, pay expenses, and otherwise manage the receivership estate.
What is the timeframe to appoint a commercial property Court Appointed Receiver?
In many cases, the party seeking to appoint the receiver is identified on very short notice, usually due to circumstances that threaten to irreparably damage the creditor’s secured position. In most cases, Stephenson & Moore will acquire their bond and be prepared for appointment within three business days, sometimes earlier if required for emergency cases.
How do I request a commercial property Court Appointed Receiver for my case?
You must be an attorney or be represented by an attorney to request a receiver for your case. Stephenson & Moore can discuss with you the details of your case, but it is against our policy to deal directly with creditors. Once we determine that the case meets our eligibility criteria, we will process the necessary forms and documents and file with the court. Stephenson & Moore can take control of a receivership estate once the judge has signed the order.
How much does it cost to appoint a commercial property Court Appointed Receiver?
Although the fees for the receiver’s services are usually paid through the receivership estate, the creditor must advance the payment necessary to appoint the receiver. If there are insufficient liquid funds in the receivership estate, the moving party must loan funds to the receivership estate through a receiver’s certificate. The receiver’s certificate creates a super priority lien against the estate and is paid out of the estate before distribution of any other payments.
What region does Stephenson & Moore serve?
We specialize in commercial property receivership's governed under Florida law. We will consider receivership's ordered through any state or federal court (including bankruptcy court) in Florida.
Disclaimer: We are not attorneys and cannot provide legal advice. You must be represented by an attorney to request appointment of a receiver.