§ 10-21-6.1 — § 10-21-6.1. Appointment of temporary non-liquidating receiver.

Rhode Island § 10-21-6.1

• Jurisdiction: Rhode Island
• Title 10: Courts and civil procedure–Procedure in particular actions
• Ch. 10-21: Rhode Island Commercial Receivership Act

Text

§ 10-21-6.1. Appointment of temporary non-liquidating receiver.

The court may appoint a temporary non-liquidating receiver on the request of the owner if:

(1) As of the date of an emergency declaration, the owner was not insolvent;

(2) As of the date of an emergency declaration, the owner was generally paying its debts as those debts became due;

(3) As of the date of an emergency declaration, the owner was not in material default of its obligations to a secured party; and

(4) Either:

(i) Because of the events giving rise to the emergency, the owner's gross revenue has declined by more than twenty percent (20%), in a sixty (60) day period beginning on or after the date of an emergency declaration, as compared to the same period of the previous year; or

(ii) Because of action by a governmental unit exercising its police or regulatory power to mitigate or otherwise address the emergency, the owner suspended or ceased a substantial part of its business operations.

Legislative History

P.L. 2022, ch. 107, § 1, effective June 20, 2022; P.L. 2022, ch. 108, § 1, effective June 20, 2022.