West Virginia Code 55-21-7 – Disqualification from appointment as receiver; disclosure of interest
(a) The court may not appoint a person as receiver unless the person submits to the court a statement under penalty of perjury that the person is not disqualified.
Terms Used In West Virginia Code 55-21-7
- Affiliate: means :
(1) With respect to an individual:
(A) A spouse, companion, or domestic partner of the individual. See West Virginia Code 55-21-2
- Court: means a circuit court. See West Virginia Code 55-21-2
- Person: means an individual, estate, business or nonprofit entity, public corporation, government or governmental subdivision, agency, or instrumentality, or other legal entity. See West Virginia Code 55-21-2
- Receiver: means a person appointed by the court as the court's agent, and subject to the court's direction, to take possession of, manage, and, if authorized by this article or court order, transfer, sell, lease, license, exchange, collect, or otherwise dispose of receivership property. See West Virginia Code 55-21-2
- Receivership: means a proceeding in which a receiver is appointed. See West Virginia Code 55-21-2
(b) Except as otherwise provided in subsection (c) of this section, a person is disqualified from appointment as receiver if the person:
(1) Is an affiliate of a party;
(2) Has an interest materially adverse to an interest of a party;
(3) Has a material financial interest in the outcome of the action, other than compensation the court may allow the receiver;
(4) Has a debtor-creditor relationship with a party; or
(5) Holds an equity interest in a party, other than a noncontrolling interest in a publicly-traded company.
(c) A person is not disqualified from appointment as receiver solely because the person:
(1) Was appointed receiver or is owed compensation in an unrelated matter involving a party or was engaged by a party in a matter unrelated to the receivership;
(2) Is an individual obligated to a party on a debt that is not in default and was incurred primarily for personal, family, or household purposes; or
(3) Maintains with a party a deposit account as defined in §46-9-102(a)(29) of this code.
(d) A person seeking appointment of a receiver may nominate a person to serve as receiver, but the court is not bound by the nomination.