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§ 3-418. Powers of receiver

West's Annotated Code of MarylandCorporations and Associations

West's Annotated Code of Maryland
Corporations and Associations
Title 3. Corporations in General--Extraordinary Actions (Refs & Annos)
Subtitle 4. Dissolution
MD Code, Corporations and Associations, § 3-418
§ 3-418. Powers of receiver
Currentness
In general
(a) The receiver of a Maryland corporation being voluntarily or involuntarily dissolved is vested with full title to all the assets of the corporation and has full power to enforce obligations or liabilities in its favor. He shall liquidate the assets of the corporation and wind up its affairs under the supervision of the court and has all powers necessary for that purpose.
Setting aside any preference, payment, or transfer
(b)(1) Any preference, payment, or transfer made by the corporation which would be void, voidable, or fraudulent under State law or the federal Bankruptcy Code1 if made by an insolvent or bankrupt is to the same extent void, voidable, or fraudulent, respectively, as to the corporation, and the receiver has the powers of a trustee in bankruptcy with respect to setting them aside.
(2) For the purpose of this subsection, the date of filing a petition for appointment of a receiver has the same effect as the date of filing a petition in bankruptcy.
Assets sold to foreclose a mortgage, deed of trust, security interest, or similar instrument
(c) If assets of a corporation are sold to foreclose a mortgage, deed of trust, security interest, or similar instrument:
(1) The receiver may sell only the corporation's equity of redemption in the assets, unless the other parties in interest agree otherwise in writing; and
(2) If the other parties do not agree otherwise in writing, the sale may take place as if the proceedings for dissolution had not been instituted.

Credits

Added by Acts 1975, c. 311, § 2, eff. July 1, 1975. Amended by Acts 2003, c. 21, § 1, eff. April 8, 2003.
Formerly Art. 23, § 81.

Footnotes

1
11 U.S.C.A. § 101 et seq.
MD Code, Corporations and Associations, § 3-418, MD CORP & ASSNS § 3-418
Current through legislation effective through April 9, 2023, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
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