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The Vermont Statutes Online



Title

08

:
Banking and Insurance






Chapter

145

:
SUPERVISION, REHABILITATION, AND LIQUIDATION OF INSURERS






Subchapter

004
:
INTERSTATE RELATIONS










 

§

7091. Conservation of property of foreign or alien insurers found in this State

(a) If a

domiciliary liquidator has not been appointed, the Commissioner may apply to

the Superior Court of Washington County by verified petition for an order

directing him or her to act as conservator to conserve the property of an alien

insurer not domiciled in this State or a foreign insurer on any one or more of

the following grounds:

(1) any of the

grounds established by section 7051 of this title;

(2) any of the

insurer's property has been sequestered by official action in its domiciliary

state, or in any other state;

(3) enough of

the insurer's property has been sequestered in a foreign country to give

reasonable cause to fear that the insurer is or may become insolvent;

(4)(A) the

insurer's certificate of authority to do business in this State has been

revoked or none was ever issued; and

(B) there are

residents of this State with outstanding claims or outstanding policies.

(b) When an

order is sought under subsection (a) of this section, the Court shall cause the

insurer to be given such notice and time to respond thereto as is reasonable

under the circumstances.

(c) The Court

may issue the order in whatever terms it shall deem appropriate. The filing or

recording of the order with the Superior Court of Washington County or the town

clerk of the town in which the principal business of the company is located,

shall impart the same notice as a deed, bill of sale, or other evidence of

title duly filed or recorded with that town clerk would have imparted.

(d) The

conservator may at any time petition for and the Court may grant an order under

section 7092 of this title to liquidate assets of a foreign or alien insurer

under conservation, or, if appropriate, for an order under section 7094 of this

title, to be appointed ancillary receiver.

(e) The

conservator may at any time petition the Court for an order terminating

conservation of an insurer. If the Court finds that the conservation is no

longer necessary, it shall order that the insurer be restored to possession of

its property and the control of its business. The Court may also make such

finding and issue such order at any time upon motion of any interested party,

but if such motion is denied all costs including, reasonable attorney's fees,

shall be assessed against such party. (Added 1991, No. 45, § 2, eff. May 29,

1991.)