Conn. Gen. Stat. § 52-507

Current with legislation from the 2024 Regular and Special Sessions.

Section 52-507 - Authority of receiver of corporation

(a) Receivers of a corporation, appointed by judicial authority, shall have the following rights and powers:

(1) The right to the possession of all the corporation's books, papers and property;

(2) the power in their own names, or in the corporation's name, to commence and prosecute civil actions for and on behalf of the corporation;

(3) the right to defend all actions brought against the corporation or them;

(4) the right to demand and receive all evidences of debt and property belonging to the corporation, and to do and execute in the corporation's name, or in their names as receivers, all other acts and things necessary or proper in the execution of their trust; and

(5) all the powers for any of the above-mentioned purposes possessed by the corporation.

(b) The receivers of a corporation shall, under the order of the court, have the same power as the directors of the corporation to call in the subscriptions to its capital stock, in such proportions and at such times and places as they think necessary for the purpose of paying all the debts of the corporation and all the expenses of the receivership.

Conn. Gen. Stat. § 52-507

(1949 Rev., S. 8243; P.A. 82-160, S. 196.)

Fraud of corporation may be a defense to a suit by its receivers. 29 C. 385. A judgment for the corporation bars a suit by the receivers for the same cause of action. 28 C. 441. Receiver may sue in trover for a conversion which occurred prior to his appointment. 44 C. 562. Statute does not undertake to change the title of property or to vest it in the receiver. Id., 562. Receiver may allow mortgagor of satisfied mortgage to use the corporation's name in an action of ejectment. 47 C. 211. After appointment, property cannot be attached, encumbered or repossessed by conditional vendor or chattel mortgagee to receiver's disadvantage. 106 C. 165. Powers of in general; for most purposes, receiver represents and stands in place of the corporation. 52 C. 361, but see 70 C. 220; Id., 321; 74 C. 359; Id., 370; 76 C. 377; 87 C. 369; 88 C. 194; 89 C. 645; 104 C. 563. Statute does not recognize capacity of the corporation to sue and be sued after decree of annulment. 56 C. 477. Receiver may appeal from an order claimed to be void, which affects the rights of owners and creditors represented by him. 69 Conn. 715. Cited. 52 C. 108; 66 C. 283. Should not be permitted to employ counsel for defendant corporation in action in which he may be plaintiff. 74 Conn. 652. Where receiver changed, corresponding change should be made in action in which he is party. 73 C. 383. In action by, to enforce stockholder's liability, has broader right than corporation would have. 75 C. 441; 104 C. 683; 107 C. 220. Necessity of securing permission of court to bring action against. 66 Conn. 277; 68 C. 543; 82 C. 363. Receiver may bring action to free estate from fraudulent liens. 74 Conn. 367. Duties as to contracts of insolvent. 72 C. 62; 76 C. 38. Property vests on appointment. 66 Conn. 350; 87 Conn. 369; 106 Conn. 165. Taxation of property in hands of receiver. 72 C. 63; 82 C. 406. Effect of bankruptcy succeeding receivership within 4 months. 84 C. 712. Statute of limitations in action by, against directors for negligence. 89 C. 451. Court may order receiver to assist in collecting on collateral deposited with trustee to secure debentures. Id., 645. Receiver may file mechanic's lien. 90 C. 8. Court may authorize employment of broker to sell property. 91 C. 191. Right to reimbursement for expenditures. 93 Conn. 143. Judgment concludes him, and, if he is authorized, establishes a claim. Id., 166. Permission to sue receiver necessary; 93 Conn. 178; effect of his entering to defend without authority of court. Id., 186. Receivers are in effect the corporation which they represent. 94 C. 113. Where receiver litigates in the name of the corporation, priority of current creditor's claims to operating income over claims of mortgagees under corporate mortgage securing bond issue. 101 C. 13; 108 C. 217. Contract of corporation to buy back its stock if unsuccessful is ultra vires; creates an unenforceable preference. 101 C. 539. Ancillary receiver may distribute assets but ordinarily they will be turned over to principal receiver for distribution. 104 C. 218. Priority between conditional vendor and receiver of conditional vendee; receiver not a "personal representative". Id., 567.

See Sec. 33-898 re court appointment of receiver or custodian for corporation.