§ 6401. Appointment and powers of temporary receiver.

229 words·~1 min read·/ny/civil-practice-law-rules/receivership/6401·

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(a)Appointment

of temporary receiver; joinder of moving party. Upon motion of a person

having an apparent interest in property which is the subject of an

action in the supreme or a county court, a temporary receiver of the

property may be appointed, before or after service of summons and at any

time prior to judgment, or during the pendency of an appeal, where there

is danger that the property will be removed from the state, or lost,

materially injured or destroyed. A motion made by a person not already a

party to the action constitutes an appearance in the action and the

person shall be joined as a party.

(b)Powers of temporary receiver. The court appointing a receiver may

authorize him to take and hold real and personal property, and sue for,

collect and sell debts or claims, upon such conditions and for such

purposes as the court shall direct. A receiver shall have no power to

employ counsel unless expressly so authorized by order of the court.

Upon motion of the receiver or a party, powers granted to a temporary

receiver may be extended or limited or the receivership may be extended

to another action involving the property.

(c)Duration of temporary receivership. A temporary receivership shall

not continue after final judgment unless otherwise directed by the

court.