§ 31A-44-502 — Relief available.

(1) In a judicial proceeding, including under Sections 31A-44-501 and 31A-44-501.1, a court may:

(1)(a) direct a receiver to take possession of the provider's property in order to conduct the provider's business, including employing any manager or agent that the receiver considers necessary; and
(1)(b) direct a receiver to eliminate the causes and conditions that made receivership necessary, which action may include:
(1)(b)(i) selling the facility;
(1)(b)(ii) requiring a purchaser of the facility to honor any continuing care contract for the facility; and
(1)(b)(iii) collecting and liquidating all or a portion of the provider's assets within the court's jurisdiction.
(2) (2)(a) For a facility subject to a ground lease, a court may, in addition to the actions described in Subsection (1), direct a receiver to purchase from the ground lessor, or assign to another person that agrees to operate the facility, for market value, the ground lessor's interest in the land and the infrastructure improvements to the land on which the facility is located.
(2)(b) A court may direct a receiver to purchase from a ground lessor the land and infrastructure improvements to the land on which a facility is located, regardless of the terms of the ground lease agreement.
(2)(c) If a court directs a receiver to purchase or assign the land and infrastructure improvements to the land under Subsection (2)(a), the ground lessor shall sell or assign the land and infrastructure improvements to the land in compliance with the court order.
(2)(d) In determining market value under Subsection (2)(a), the commissioner shall:
(2)(d)(i) value the land and infrastructure improvements to the land on which the facility is located as though the land and infrastructure improvements to the land were not subject to the ground lease; and
(2)(d)(ii) disregard the monetized value of an existing ground lease.
(3) A provider that is subject to a liquidation order may not enter into a new continuing care contract.
(4) Solely for the purpose of enforcing this section, a court has personal jurisdiction in a proceeding under this section over:

(4)(a) the owner of a facility; and
(4)(b) the owner of the land and infrastructure improvements to the land on which a facility is located.
(5) If the commissioner is appointed as receiver, the commissioner may hire or retain a deputy receiver to perform any duties of receivership.

Legislative History

Amended by Chapter 271, 2023 General Session