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In a Ponzi Scheme Are Referral and Broker Fees Recoverable?

Q: I am a receiver in a Ponzi scheme case. While I know I can sue to recover excess payments made to investors in the scheme, the false profit they were paid, per Donell v. Kowell, 533 F3d 762 (9th Cir. 2008), in my case...more

The Proper Procedure for A Receiver Hiring Counsel to be Paid by the Receivership Estate

I am a receiver, but not an attorney. During the receivership some legal matters came up and I used my in-house counsel and an outside attorney to handle the matters. My order of appointment states I can hire attorneys, but...more

State Law Dictates Who May File Bankruptcy For A Corporation

A prior Ask the Receiver discussed Sino Clean Energy Inc. by and through Baowen Ren v. Seiden, 565 B.R. 677 (Nev. 2017), where a district court’s affirmed of a bankruptcy court’s order dismissing a bankruptcy case. A state...more

Can A Federal Court Invalidate A State Court Receivership

I was appointed receiver in a health and safety case, brought by a city, over a rundown motel and an adjacent rundown office building. The owner of the property, who has been fighting the city, has now filed an action in...more

Selling Real Property In A Federal Receivership

Q: I am a federal receiver. One of the assets in the estate is a small office building. I want to list it with a broker and sell it. ...more

Receiver’s Appointing Order Language Controls Who Can File A Corporate Bankruptcy

I was appointed receiver for a corporation. My order of appointment gives me, and me alone, the power to file bankruptcy for the corporation....more

Can a Receiver Keep Fees If the Underlying Judgement is Reversed on Appeal?

Question: I have been appointed receiver to collect a judgment. The judgment is on appeal. I am concerned that if the judgment is reversed my fees might be in jeopardy. Am I entitled to keep the fees I have been paid even if...more

How Does a Receiver Sell the Homesteaded Home of a Judgment Debtor to Satisfy a Judgment?

Question: I am a receiver appointed to collect a substantial judgment. The judgment debtor’s home has appreciated since the entry of the judgment five years ago....more

Can a Receiver be Sued for Not Paying a Pre-Receiver Creditor?

Question: I am the Receiver for a condo project. A pre-receivership creditor has threatened to sue me because I won’t pay for the services he provided the defendant. I have explained to the creditor that the receivership is...more

The Difference Between Bankruptcy & Receivership Payment of Legal Fees to Defend Fee Applications

QUESTION: I was appointed receiver for an apartment building. I operated the property for six months, then the defendant filed bankruptcy. ...more

Do Settlement Agreements Need to Be Approved by the Court?

QUESTION: As receiver, I sued a third party to collect funds owed to the entity in receivership. I have settled the lawsuit. ...more

How Do I Distribute Funds When One Of The Parties Provides A Social Security Number That Is Not His?

QUESTION: I am getting ready to close my receivership and distribute the funds in the estate to the two parties. I have just learned that the Social Security number one of the parties gave me is not his. What should I do?...more

If a receiver discovers possible criminal wrongdoing, are they required to report it to authorities?

QUESTION: If I discover possible criminal wrongdoing, am I, as receiver, required to report it to authorities? ANSWER: The answer depends on whether you are a federal receiver or state court receiver....more

Do You Need a Confirmation Hearing When a Receiver is Appointed Ex Parte?

Question: Do you need a confirmation hearing when a receiver is appointed ex parte and are there any exceptions? Answer: Yes and no. In early practice in California, the appointment of a receiver on an ex parte basis was...more

Can The Defendant Set Aside A Sale Of Receivership Assets To A Buyer?

QUESTION: I purchased assets from a receiver. The court approved the sale over the objection of one of the defendants. The sale has now closed. I was just informed that the defendant is appealing the order approving the sale....more

Can A Receiver Be Appointed To Take Possession And Safeguard Transferred Property Pending Trial Of A Fraudulent Transfer Action?

QUESTION: I know receivers often bring actions to set aside fraudulent transfers and recover the property transferred, but can a receiver be appointed in a fraudulent transfer lawsuit to take possession of and safeguard...more

Can a Magistrate Appoint a Receiver?

QUESTION: Can a magistrate appoint a receiver? ANSWER: While an arbitrator cannot appoint a receiver, Marsh v. Williams, 23 Cal. App 4th 238 (1994), a magistrate can....more

Fore! Ponzi Scheme Lands The Golf Channel In The Rough

Receivers handling Ponzi schemes and fraud cases are familiar with the concept of suing the “winners” in the scheme to recover transfers made to them in excess of their investment. Such suits are based on the theory that the...more

Receiver’s Sales Are Not Immediately Appealable In Federal Court

QUESTION: I purchased assets from a receiver. The court approved the sale over the objection of one of the defendants. The sale has now closed. I was just informed that the defendant is appealing the order approving the sale....more

Can A Receiver Take Over Out-of-State Assets With A California Appointment Order?

QUESTION: I am a receiver for a partnership. While most of the partnership assets are in California, I have discovered the partnership owns a storage facility in Nevada and mining equipment in Arizona. Can I take over and...more

Can a Receiver Retake Possession of the Property if a Bankruptcy is Dismissed?

QUESTION: I was appointed receiver for a business. Shortly after my appointment the owners put the business into bankruptcy and I turned over possession to the debtor. I was not discharged as receiver. I just learned that the...more

Can Investor/Creditor Recoveries from Third Parties Reduce Their Claims in a Receivership?

QUESTION: I am an equity receiver and I am setting up a claims procedure. I know some creditors and investors have filed suit against third parties to recover their losses. Can I consider these possible third party recoveries...more

Can I Be Sued By a Creditor in Nevada as a Receiver Appointed by the Court in California?

QUESTION: I am a receiver appointed by a court in California in a contentious case. One of creditors has threatened to sue me in Nevada were he is located. How can this creditor sue me? I am a receiver appointed by the Court!...more

In an Appealed Appointment, How Does a Receiver Get Paid if the Receivership is Terminated?

I have been appointed receiver in a case where the defendant appealed my appointment. If the appeal is successful, and the receivership is terminated, how do I get paid? ANSWER: As a general rule, fees and costs of a...more

Can an Appeal be Dismissed because the Appellant has Refused to Comply with Court Orders?

I have been appointed receiver in a case involving contentious litigation over a business. The defendant has appealed my order of appointment. The defendant has also repeatedly violated the injunction issued along with my...more

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