Receivers

Receivers: Underwriting Guidelines

The following guidelines are given when insuring property sold by a Receiver:

 

1.  The agent should obtain and examine a certified copy of the order of sale. This order should contain a minimum of the following:  a. Complete description of the property;  b. Whether the sale is to be private or public;  c. Price, terms and conditions of the sale; 

2.  How the sales proceeds are to be distributed. (If not stated, the proceeds are paid to the clerk of the court to be held until the rights of all claimants are determined.) 

3.  Expiration of the time for appeal (or an affidavit from the Receiver attesting that there has been no appeal from the Order Appointing the Receiver and the Order of Sale). 

4.  If the time for appeal has not run, the following exception should be made in the commitment and policy:  a. “Subject to the rights of appeal from the order appointing the Receiver and/or the order of the sale, if any”. 

5.  A Certified Copy (conformed copies are not acceptable) of the Report and Confirmation of the Sale must be obtained prior to closing

6.  Recordation of the Receiver’s Deed.

 

Certified Copies of the Order of Sale, Report and Confirmation of Sale, and the Receiver’s Deed must be recorded in the records in which the property is located.