614.79 Rehabilitation and liquidation.

259 words·~1 min read·/wi/chapter-614/614-79-3

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

(1)Grounds for rehabilitation or liquidation. In addition to the grounds for rehabilitation under s. 645.31 and the grounds for liquidation under s. 645.41 , any of the following is grounds for rehabilitation under s. 645.31 or liquidation under s. 645.41 :

(a)Failure by a domestic fraternal to comply with an order of the commissioner under s. 614.78 .

(b)Failure by a domestic fraternal to remedy within the time specified by the commissioner a hazardous condition as determined by the commissioner under s. 614.78 .

(2)Criteria for rehabilitation. For purposes of a proceeding commenced under this section, rehabilitation under s. 645.31 is presumed to be futile and to serve no useful purpose, unless the commissioner reasonably believes that rehabilitation has a high probability of returning the fraternal to long-term viability or will facilitate a transfer to another fraternal or insurer.

(3)Assessments under liquidation. Notwithstanding ss. 614.19

(3)and 645.68 , after a petition for liquidation of a fraternal is filed, the fraternal may not assess payment of shares of a deficiency under s. 614.19

(b), unless the commissioner determines that the assessment is for the purpose of satisfying the obligations of the fraternal to creditors described in s. 645.68

(1)and

(3). The fraternal may not make an assessment for the purpose of any deficiency related to other claims including those described in s. 645.68

(3c),

(3m),

(3r),

(4),

(5),

(6),

(7),

(8),

(9),

(10), or

(11).