§ 23-1-47-3 — Receivers and custodians

Indiana § 23-1-47-3

• Jurisdiction: Indiana
• Title 23: BUSINESS AND OTHER ASSOCIATIONS
• Art. 1: INDIANA BUSINESS CORPORATION LAW
• Ch. 47: Judicial Dissolution

Text

(a) A court in a judicial proceeding brought to
dissolve a corporation may appoint one (1) or more receivers to wind
up and liquidate, or one (1) or more custodians to manage, the business
and affairs of the corporation. The court shall hold a hearing, after
notifying all parties to the proceeding and any interested persons
designated by the court, before appointing a receiver or custodian. The
court appointing a receiver or custodian has exclusive jurisdiction over
the corporation and all its property wherever located.
(b) The court may appoint an individual or a domestic or foreign
corporation (authorized to transact business in Indiana) as a receiver or
custodian. The court may require the receiver or custodian to post
bond, with or without sureties, in an amount the court directs.
(c) The court shall describe the powers and duties of the receiver or
custodian in its appointing order, which may be amended from time to
time. Among other powers:
(1) the receiver:
(A) may dispose of all or any part of the assets of the
corporation wherever located, at a public or private sale, if
authorized by the court; and
(B) may sue and defend in the receiver's own name as receiver
of the corporation in all courts of this state; and
(2) the custodian may exercise all of the powers of the
corporation, through or in place of its board of directors or
officers, to the extent necessary to manage the affairs of the
corporation in the best interests of its shareholders and creditors.
(d) The court during a receivership may redesignate the receiver a
custodian, and during a custodianship may redesignate the custodian
a receiver, if doing so is in the best interests of the corporation, its
shareholders, and creditors.
(e) The court from time to time during the receivership or
custodianship may order compensation paid and expense
disbursements or reimbursements made to the receiver or custodian
and the receiver's or custodian's counsel from the assets of the
corporation or proceeds from the sale of the assets.

Legislative History

As added by P.L.149-1986, SEC.31.