State Court Receiverships
A state court receivership is a legal case involving appointing a third-party fiduciary of the court to take full control and possession of all real estate assets, bank accounts and personal assets and administer them as outlined in the Court Order. The duties of the receiver are to be executed for the benefit of the parties involved and reporting back to the court. A state court receiver is most often used where there is a default of a commercial real estate loan and the secured lender is needing to protect the collateral for the loan. The receivers' duties will include collecting all rents and deposits; and protecting the property with insurance; paying all taxes, operating expenses and executing leases and maintaining the property in good repair. The Order may also include marketing the property for sale.
Federal Equity Receiverships
A federal equity receiver is an independent trusted individual appointed by a federal court on behalf of a federal agency to protect the interests of innocent parties from the defendant. Once the receiver is appointed, he will immediately engage in protecting assets, locating and recovering additional assets through search firms, engage in third party litigation, marketing and liquidating estate assets, forensic accounting and preparing and fulfilling a plan for the restitution of the victims. For EB-5 projects, the receiver will determine the status of all investor applications, do forensic analysis on the job creation and respond to all communications with the USCIS to protect the investors interest. The EB-5 receiver may also need to oversee the completion of construction on a partially developed project.