North Dakota § 26.1-06.1-14 Actions by and against rehabilitator

North Dakota Statutes

§ 26.1-06.1-14 — Actions by and against rehabilitator

North Dakota § 26.1-06.1-14

Title 26.1Insurance

Ch. 26.1-06.1Insurance Company Rehabilitation and Liquidation

This text of North Dakota § 26.1-06.1-14 (Actions by and against rehabilitator) is published on Counsel Stack Legal Research, covering North Dakota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

N.D. Cent. Code § 26.1-06.1-14 (2026).

Text

1.Whenever any action or proceeding in which the insurer is a party, or is obligated to defend a party, is pending at the time a rehabilitation order against the insurer is entered, the court before which the action or proceeding is pending shall stay the action or proceeding for ninety days and such additional time as is necessary for the rehabilitator to obtain proper representation and prepare for further proceedings. The rehabilitator shall take such action respecting the pending litigation as deemed necessary in the interests of justice and for the protection of creditors, policyholders, and the public. The rehabilitator shall immediately consider all litigation pending outside this state and shall petition the courts having jurisdiction over that litigation for stays whenever necess

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1. Whenever any action or proceeding in which the insurer is a party, or is obligated to
defend a party, is pending at the time a rehabilitation order against the insurer is
entered, the court before which the action or proceeding is pending shall stay the
action or proceeding for ninety days and such additional time as is necessary for the
rehabilitator to obtain proper representation and prepare for further proceedings. The
rehabilitator shall take such action respecting the pending litigation as deemed
necessary in the interests of justice and for the protection of creditors, policyholders,
and the public. The rehabilitator shall immediately consider all litigation pending
outside this state and shall petition the courts having jurisdiction over that litigation for
stays whenever necessary to protect the estate of the insurer.
2. No statute of limitations or defense of laches runs with respect to any action by or
against an insurer between the filing of a petition for appointment of a rehabilitator for
that insurer and the order granting or denying that petition. Any action against the
insurer that might have been commenced when the petition was filed may be
commenced for at least sixty days after the order of rehabilitation is entered or the
petition is denied. The rehabilitator may, upon an order for rehabilitation, within one

year or such other longer time as applicable law may permit, institute an action or
proceeding on behalf of the insurer upon any cause of action against which the period
of limitation fixed by applicable law has not expired at the time of the filing of the
petition upon which such order is entered.
3. Any guaranty association or foreign guaranty association covering life or health
insurance or annuities shall have standing to appear in any court proceeding
concerning the rehabilitation of a life or health insurer if such association is or may
become liable to act as a result of the rehabilitation.