Beverly McFarland recently represented the California Receivers Forum
as an observer at a meeting of the Drafting Committee (Committee) on the
Uniform Law Commission’s (ULC) “Model Act on the Appointment and
Powers of Real Estate Receivers” (MAPRER), which met on September
27 and 28, 2013 in Minneapolis. Those in attendance representing numerous
states were: Commissioner Thomas Hemmendinger (the Committee
Chairperson) from Brennan, Recupero, Cascione, Scungio & McAllister,
Providence, RI; state appointed commissioners; judges from the various
state court of appeals; section advisors from the American Bar
Association; practitioners and lawyers referred to as observers; and, a
most important person to the Committee, R. Wilson Freyermuth, the
MAPRER Reporter (Reporter) from University of Missouri-Columbia School of
Law, Columbia, MO. Also attending portions of the meeting were ULC
President, the Honorable Harriett Lansing, Executive Committee
Chair Richard T. Cassidy and Executive Director John A. Sebert.
Committee considered the Reporter’s August 21, 2013 draft of the MAPRER
document. The group also discussed the items raised in the Reporter’s
notes and other issues of concern to the participants on real estate
receiverships. The two day meeting was “extremely productive” according to
the Recorder, with everyone contributing helpful and practical substantive
comments and suggestions. A summary of the positions stated in the report
by the Reporter are not final decisions based on formal votes of the
Commission. Instead, they reflect the consensus on what the Committee
wants the Reporter to include in the discussion draft for consideration at
the ULC - MAPRER Spring 2014 meeting. The Reporter advised us that, “The
draft takes the middle approach between the extensive and detailed
statutes of Minnesota and Washington and the more sparse statutes in some
other states.” (For more information, the complete report of the September
2013 MAPRER meeting is posted on line at
interest to our receivership community in California that the Committee
discussed stemmed from information provided prior to the Washington, D.C.
MAPRER meeting in April 19-20, 2013. We had supplied the Committee in
advance with copies of the Miller Starr Regalia, Chapter 33 “Receivers”
booklet; the relevant sections of the 2013 California Rules of Court;
Rules 3.1175-31184; Cal CCP Sections 564-570; a flash drive of Loyola V
and numerous references to articles in the CRF Receivership News issues.
Also discussed in the April meeting was a state-by-state summary of
existing laws which were debated and analyzed with the concept of picking
portions of those laws that may fit into a uniform law.
September 2013 meeting was filled with lively debates on persons eligible
or ineligible to serve as receiver; receivership clauses in mortgages; ex
parte appointments; receiver as a lien creditor; and powers to sell
described in detail with five potential options to consider, to name a few
items. It was fascinating to be in a conference room filled with
professionals from many, but not all, of the states ranging from
California to Kentucky to Rhode Island and all states in between and to
hear the very different opinions offered by their representatives. It was
also interesting to note that there was not a commissioner from California
at either of the meetings that we attended.
review the full MAPRER report on line at the ULC website stated above and
provide CRF representatives, Gordon Dunfee
email@example.com and Beverly
with your comments to consider presenting at the next MAPRER meeting in
the Spring of 2014.
Gordon Dunfee is the 2013-2014 President of California Receivers Forum
state organization. Law Offices of Gordon E. Dunfee focus on receivership
matters and are located in San Diego.
Beverly N. McFarland is an RN Associate Publisher, a chapter 11
trustee and receiver, CEO of The Beverly Group, Inc., an asset management
company. Ms. McFarland is a former chair and current member of the
California Receivers Forum BOD, and has enjoyed presenting at the Loyola
Law School seminars through the years.