10-25-2014, 10:56 AM
A short definition of receivership, courtesy of Wikipedia. Food for thought.
RECEIVERSHIP
In law, receivership is the situation in which an institution or enterprise is being held by a receiver, a person "placed in the custodial responsibility for the property of others, including tangible and intangible assets and rights," especially in cases where a company cannot meet its financial obligations or enters bankruptcy. Various types of receiver appointments exist:
1. a receiver appointed by a (government) regulator pursuant to a statute;
2. a privately appointed receiver; and
3. a court-appointed receiver.
The receiver's powers "flow from the document(s) underlying his appointment" – a statute, financing agreement, or court order.
Court-appointed receivers are "the most powerful and independent of the judicially appointed managers." Unlike special masters and monitors, "the receiver completely displaces the defendants: the receiver makes large and small decisions, spends the organization’s funds, and controls hiring and firing determinations."
RECEIVERSHIP
In law, receivership is the situation in which an institution or enterprise is being held by a receiver, a person "placed in the custodial responsibility for the property of others, including tangible and intangible assets and rights," especially in cases where a company cannot meet its financial obligations or enters bankruptcy. Various types of receiver appointments exist:
1. a receiver appointed by a (government) regulator pursuant to a statute;
2. a privately appointed receiver; and
3. a court-appointed receiver.
The receiver's powers "flow from the document(s) underlying his appointment" – a statute, financing agreement, or court order.
Court-appointed receivers are "the most powerful and independent of the judicially appointed managers." Unlike special masters and monitors, "the receiver completely displaces the defendants: the receiver makes large and small decisions, spends the organization’s funds, and controls hiring and firing determinations."