Receivers.

Ala. Code tit. 6, ch. 6, art. 14

in effect

Ala. Code § 6-6-620 Appointment - Power of Circuit Court Judge, Register, or Clerk.

6-6-620. Appointment - Power of Circuit Court Judge, Register, or Clerk. Receivers may be appointed by the circuit court judge and by the register or clerk in the absence of the judge, upon application in writing. When the application is made to the register or clerk, reasonable notice of the time of such application and the person to whom it will be submitted must be given, or a good reason shown to the register or clerk for the failure to give the same. (Code 1852, §2986; Code 1867, §3441; Code 1876, §3881; Code 1886, §3534; Code 1896, §799; Code 1907, §5726; Code 1923, §10113; Code 1940, T. 7, §1156.)

Ala. Code § 6-6-621 Appointment - Appeal When Appointed by Register or Clerk.

6-6-621. Appointment - Appeal When Appointed by Register or Clerk. When an order appointing a receiver is made by the register or clerk, it shall be subject to appeal to the circuit judge, which may be heard at any time. Such order must be suspended whenever the appellant enters into bond with sufficient sureties, to be approved by the register or clerk, in such sum as he shall prescribe, payable to the appellee and conditioned to pay the appellee all such costs and damages as he may sustain in case the appeal is not prosecuted to effect. (Code 1867, §§730, 731; Code 1876, §§639, 640; Code 1886, §3535; Code 1896, §800; Code 1907, §5727; Code 1923, §10114; Code 1940, T. 7, §1157.)

Ala. Code § 6-6-622 Appointment - Posting of Bond by Applicant; Recovery Upon Bond.

6-6-622. Appointment - Posting of Bond by Applicant; Recovery Upon Bond. (a) When application is made to the circuit judge, register, or clerk for the appointment of a receiver, such circuit judge, register, or clerk must, before making such appointment, require the applicant to enter into bond, with surety, in such sum as the circuit judge, register, or clerk may prescribe, payable to the opposite party, and to be approved by the judge, register or clerk, with condition to pay all damages which any person may sustain by the appointment of the receiver if such appointment is vacated or receiver removed or discharged because improvidently appointed. (b) Any person damaged by the appointment of the receiver in the event such appointment is vacated or discharged, as provided in subsection (a) of this section, may recover, by an action upon such bond, in his own name, all damages so sustained, not exceeding the penalty of the bond. (Code 1896, §§801, 802; Code 1907, §§5728, 5729; Code 1923, §§10115, 10116; Code 1940, T. 7, §§1158, 1159.)

Ala. Code § 6-6-623 Appointment - Partnerships; Power of Court to Make Orders Relative to Partnership Business, Etc.; Modification or Vacation of Appointment or Orders.

6-6-623. Appointment - Partnerships; Power of Court to Make Orders Relative to Partnership Business, Etc.; Modification or Vacation of Appointment or Orders. (a) When any partnership shall be dissolved and the partners cannot agree upon the disposition of the partnership effects and the settlement of the affairs of such partnership, either of them may apply to the circuit court for the county in which either of said partners resides or in which the property of such partnership is situated for the appointment of a receiver to hold the business and all of the estate, both real and personal, belonging to such partnership and dispose of, manage and apply the same as the said court may direct. Upon receiving such application, said court shall forthwith appoint a day for the hearing upon the same and shall make such order relative to notice of such application and of the hearing to the other partners as may be deemed proper. The hearing shall be at least six days from the service of such order or notice, and such court, upon said hearing, may appoint a receiver for said partnership who shall be subject to the orders of said court. (b) The said court shall have the power to make such orders relative to the management or closing up of the business of such partnership and to the sale, division, or other disposal of its real and personal estate as may be necessary to protect the rights and interests of each partner and of the creditors of such partnership. (c) Upon the appointment of a receiver for a partnership, he shall be entitled to the immediate possession and control of all its property, both real and personal, subject to the order of said court; but any such appointment or any order of said court may be modified or vacated on the application to said court of any party to such proceedings, reasonable notice of such application and of the time and place of the hearing thereon having first been given to every other party. (Code 1923, §§10119-10121; Code 1940, T. 7, §§1162-1164.)

Ala. Code § 6-6-624 Appointment - Dissolution of Attachments and Levies of Executions Against Corporations or Partnerships.

6-6-624. Appointment - Dissolution of Attachments and Levies of Executions Against Corporations or Partnerships. The commencement of proceedings for the appointment of a receiver of a corporation or a partnership shall dissolve all attachments and all levies of executions not completed made within 60 days next preceding on the property of such corporation or partnership; but if the property is subsequently taken from the receiver so that it cannot be made subject to the orders of the court in the settlement of the affairs of said corporation or partnership or if the receivership shall be terminated by order of the court pending the settlement of the affairs of the corporation or partnership, said attachments and levies of execution shall revive, and the time from the commencement of such proceedings to the time when the receiver shall be dispossessed of the property, or the finding of the court that said property is not subject to the orders of said court or when said trust shall be terminated shall be excluded from the computation in determining the continuance of the lien created by such attachment; but the attachment or levying creditors shall be allowed the amount of their legal costs accruing before the time of the appointment of a receiver as a preferred claim against the estate of said corporation or partnership if their respective claims upon which the attachments are founded shall, in whole or in part, be allowed. (Code 1923, §10124; Code 1940, T. 7, §1167.)

Ala. Code § 6-6-625 Payment of Salaries, Commissions, and Wages Before General Liabilities of Corporation or Partnership Paid.

6-6-625. Payment of Salaries, Commissions, and Wages Before General Liabilities of Corporation or Partnership Paid. Every debt due to any person on a salary or commission basis or any laborer or mechanic for personal wages from any corporation or partnership for which a receiver shall be appointed for any labor performed for such corporation or partnership within three months next preceding the service of the application for the appointment of a receiver shall be paid in full by the receiver, to the amount of not exceeding $300, before the general liabilities of such corporation or partnership are paid. (Code 1923, §10122; Code 1940, T. 7, §1165.)

Ala. Code § 6-6-626 Commencement of Actions Against Receivers or Managers of Property.

6-6-626. Commencement of Actions Against Receivers or Managers of Property. A receiver or manager of property, appointed by any court, may have an action commenced against him in respect to any act or transaction of his in carrying on the business connected with such property in this state without the previous leave of the court in which such receiver or manager was appointed. (Code 1896, §803; Code 1907, §5730; Code 1923, §10117; Code 1940, T. 7, §1160.)

Ala. Code § 6-6-627 Service of Process on Foreign or Domestic Receivers.

6-6-627. Service of Process on Foreign or Domestic Receivers. In actions against foreign or domestic receivers holding, owning, claiming, or operating property in this state, the summons and complaint may be executed by the delivery of a copy thereof to the receiver if he is found within the state or, upon affidavit being made by the plaintiff, his agent, or attorney that the receiver cannot be found within the state, then service may be had by leaving a copy of the summons and complaint with any agent in the employ of such receiver; and, if there are two or more receivers of the same estate, firm, person, or corporation, service upon one of such receivers or his agent, as provided in this section, is sufficient. (Code 1896, §804; Code 1907, §5731; Code 1923, §10118; Code 1940, T. 7, §1161.)

Ala. Code § 6-6-628 Removal and Filling of Vacancies.

6-6-628. Removal and Filling of Vacancies. Receivers may be removed at any time at the pleasure of the court by which they were appointed, and if any receiver is removed, declines to act or dies, the court that appointed him may fill the vacancy. (Code 1923, §10123; Code 1940, T. 7, §1166.)

Source: Alabama Legislature (alison.legislature.state.al.us)URL: https://alison.legislature.state.al.us/code-of-alabamaFetched: 10/20/2026