Part 8 - Receivers

    (a) Disqualification - Except as provided in section (b) of this rule, an appointment as receiver shall not be granted to an individual, or to a corporation having a principal officer, who:

    (i) is related by blood or marriage to a party or attorney in the action;

    (ii) is an attorney for, or of counsel for any party in the action;

    (iii) is an officer, director, stockholder, or employee of a corporation the assets of which are in question; or

    (iv) stands in any relation to the subject of the controversy that would tend to interfere with the impartial discharge of his duties as an officer of the court.

    (b) Exception - If the court is satisfied that the best interests of the estate would be served, an individual or corporation otherwise disqualified under section (a) of this rule may be appointed as receiver by an order specifically setting forth the reasons for departing from the general rule. A receiver so appointed shall serve without compensation, unless otherwise ordered by the court upon good cause shown.

    [Adopted May 17, 1976, effective July 1, 1976.]

    (a) Application - An attorney for the receiver shall be employed only upon order of the court, upon written motion of the receiver stating the reasons for the requested employment.

    (b) Qualifications - Except as provided in section (c) of this rule, no attorney shall be employed for the receiver who is directly or indirectly interested in the action or in the receivership estate, either in person or as an attorney. The court may require any attorney employed to establish, by affidavit or otherwise, that no such interest exists.

    (c) Exception - In any proceeding the court in its discretion may authorize employment of an attorney who represents a party to the action or who may have an interest in the proceeding.

    [Adopted May 17, 1976, effective July 1, 1976.]

    Not later than 30 days after his appointment, the receiver shall file with the court a detailed report and inventory of all property, real or personal, of the estate, designating the property within his possession or control.

    [Adopted May 17, 1976, effective July 1, 1976.]

    (a) Appraiser - Appraisers may be appointed only upon order of court or agreement of the parties with the approval of the court. If appraisers are to be appointed, they shall be selected by the court.

    (b) Appraisal by receiver - If no appraisers are appointed, the receiver shall investigate the value of the property of the estate and show in the inventory the value of the several items listed as disclosed by the investigation.

    [Adopted May 17, 1976, effective July 1, 1976.]

    (a) Time of filing - The receiver shall file his first report at the time of filing his inventory and additional reports annually thereafter. Special reports may be ordered by the court, and a final report shall be filed upon the termination of the receivership.

    (b) Forms - The court may prescribe forms to be used for reports of a receiver.

    [Adopted May 17, 1976, effective July 1, 1976.]

    (a) Where the amount to be collected during the period of the receivership will equal or exceed $5,000.00 a separate bank account for that receivership must be carried.

    (b) Receivers are to carry no more than $5,000.00 in a checking account. Any amount in excess of $5,000.00 shall be deposited in an interest-bearing account.

    (c) Receivers of multiple dwelling properties shall file interim reports covering each six months period and the reports shall contain evidence of the amount of funds on hand.

    [Adopted May 17, 1976, effective July 1, 1976.]