Receivership Services

The Accelerated Marketing Group (AMG) is a professional, experienced party that occasionally accepts a Receiver position of responsibility. A Receiver is a person in a unique position of trust to a presiding Court, a neutral person who is appointed by a Court to hold temporary possession of a property belonging to one or more litigants. In virtually all cases, a lawsuit is filed in order to get a Receiver appointed.

There are many factors to be considered before deciding to appoint a Receiver. Some are outlined below and AMG will be pleased to discuss this with a lender or other qualified principal.

Most common Receivership is where there is a monetary default in an income-producing property. This is also the most common type of Receivership service offered by AMG. The process is usually:

Lender commences judicial foreclosure and asks the Court to appoint the Receiver, and records a Notice of Default under the Deed of Trust to begin non-judicial foreclosure.
Lender must choose between foreclosing non-judicially at a trustee's sale or by obtaining a decree of foreclosure in Court.
Election of remedies not final until auction completed or Court enters judgment.
Receiver collects rent for up to 4 months notice period before a sale can take place.
Receiver pays expenses, including his or her fees and counsel's fees from rent collected.
Balance paid to Lender at end of receivership.
The Receiver must faithfully discharge duties and comply with the Court.
Receiver must keep funds in insured accounts, maintained by licensed securities dealers and not in the Bank that is a party to the action.

How does the Court choose whom to appoint as Receiver?

It is up to the judge, but the parties usually nominate AMG.

There are different types of Receivers and their duties:

Rents and profits receivers; begins to collect accounts and rents
Equity receivers.
Receiver is not liable for debts incurred by the Borrower prior to the appointment of the Receiver.
Receiver is appointed due to defaulted real estate loans.
Receiver secures control over premises
Receiver inventories: tangible and intangible assets.

Can the Receiver sell assets outside the ordinary course of business?
Only with Court approval.

Can the Receiver abandon assets that are too costly to maintain?
Yes.

Recent News:

Accelerated Marketing Group (AMG) Recognized by California State Auctioneers Association (CSAA)