california bankruptcy court records
What Is a Rents, Issues and Profits Receiver in California?
In real estate cases, the enforcement of a deed of trust may require the court to appoint a rents and profits receiver. Although this type of receivership is associated with real estate cases, it is not pertinent to receiverships brought by a tenant regarding any health or safety code violations.
Rents and profits receivers are appointed to protect and preserve rents during foreclosures, whether by the court or by the lender. A non-judicial receivership is outlined in loan documents in the “assignment of rents” clause. However, this clause is not required in order to assign the receiver – state laws allow a court to place a receiver in this case.
It’s important to be familiar with local laws that may apply in this type of receivership as well. Los Angeles County’s Local Rule 2.5 allows for a receiver to possess property in foreclosure proceedings, in cases where conditions of a deed of trust or mortgage have not been met, or where a property is likely worth less than what is owed.
Rents and profits receiverships can be appointed in cases involving multifamily, office, retail, industrial, medical, hotel and motel, mobile home and gas station properties; these are typically income-producing properties in foreclosure, requiring a third party to oversee its maintenance and possession during court hearings.
This type of receivership can last a mere few days or for several months; this time period is solely dependant upon the length of time required for the default to be cured or foreclosure to be terminated.
First, a noticed motion or ex-parte hearing is held to request and appoint a receiver. An appointing order is then issued to the receiver, detailing duties required while possessing and operating the property.
There are certain cases in which a receivership may be terminated, as well. If the default is cured, foreclosure is completed or an event such as a bankruptcy takes place, the receiver gives up possession and operation of the property.
After termination of a rents and profits receivership, a final accounting record must be submitted to the court for a formal dismissal. Depending upon the case and court, this action will typically take place within 60 days of the termination of the receivership.
In order to qualify as a receiver of rents and profits, a party must be an attorney, CPA, property manager, or have other relevant experience that would aid in maintaining real property and controlling rents and profits.
About the Author
Steve Donell provides a practical and results oriented approach to all cases. He has been appointed in hundreds of cases in both federal and state court. FedReceiver.com provides 40+ years of receivership experience and have acted as receivers in cases involving individuals,
government entities, commercial and private lenders as well as city and district attorneys. Visit FedReceiver.com for more information.
|
|
Paralegal Practice & Procedure: A Practical Guide for the Legal Assistant $5.48 AU Deborah E. Larbalestrier AF Los Angeles, CA. DE This immensely popular reference book is the first place the effective, efficient paralegal turns to for answers. Literally packed with thousands of step-by-step procedures, facts, figures, definitions, model forms and diagrams, qit-Paralegal Practice and Procedure-qit covers virtually every significant law and computerised research tool in every … |
|
|
California State Board of Equalization, Petitioner, v. George T. Goggin, Receiver in Bankruptcy of the Estate U.S. Supreme Court Transcript of Record with Supporting Pleadings $18.17 The Making of Modern Law: U.S. Supreme Court Records and Briefs, 1832-1978 contains the world’s most comprehensive collection of records and briefs brought before the nation’s highest court by leading legal practitioners – many who later became judges and associates of the court. It includes transcripts, applications for review, motions, petitions, supplements and other official papers of the most… |
|
|
California State Board of Equalization, Petitioner, v. George T. Goggin, Trustee in Bankruptcy of the Estate of West Coast Cabinet Works, Inc. U.S. … of Record with Supporting Pleadings $18.17 The Making of Modern Law: U.S. Supreme Court Records and Briefs, 1832-1978 contains the world’s most comprehensive collection of records and briefs brought before the nation’s highest court by leading legal practitioners – many who later became judges and associates of the court. It includes transcripts, applications for review, motions, petitions, supplements and other official papers of the most… |
