Nebraska § 44-4815 Actions; effect
of rehabilitation

Nebraska Statutes

§ 44-4815 — Actions; effect of rehabilitation

Nebraska·Ch. 44 Insurance

(1)Except as provided in subsection (4) of this section, any court in this state before which any action or proceeding in which the insurer is a party or is obligated to defend a party is pending when a rehabilitation order against the insurer is entered 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 he or she deems necessary in the interests of justice and for the protection of insureds, creditors, 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 sta

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(1) Except
as provided in subsection (4) of this section, any court in this
state before which any action or proceeding in which the insurer is a party
or is obligated to defend a party is pending when a rehabilitation order against
the insurer is entered 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 he or she deems necessary
in the interests of justice and for the protection of insureds, creditors,
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 shall run
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 by or 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.
(4) A Federal
Home Loan Bank shall not be stayed, enjoined, or prohibited from exercising
or enforcing any right or cause of action regarding collateral pledged under
any security agreement, or any pledge, security, collateral or guarantee agreement
or any other similar arrangement or credit enhancement relating to such Federal
Home Loan Bank security agreement.