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§27-14.3-55  Liquidation of property of foreign or alien insurers found in this state. –


Published: 2015

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TITLE 27

Insurance

CHAPTER 27-14.3

Insurers' Rehabilitation and Liquidation Act

SECTION 27-14.3-55



   § 27-14.3-55  Liquidation of property of

foreign or alien insurers found in this state. –

(a) If no domiciliary receiver has been appointed, the commissioner may apply

to the superior court for the county of Providence by verified petition for an

order directing him or her to liquidate the assets found in this state of a

foreign insurer or an alien insurer not domiciled in this state, on any of the

following grounds:



   (1) Any of the grounds in § 27-14.3-16 or 27-14.3-21; or



   (2) Any of the grounds specified in § 27-14.3-54(a)(2)

through (4).



   (b) When an order is sought under subsection (a) of this

section, the court shall cause the insurer to be given notice and time to

respond to it as is reasonable under the circumstances.



   (c) If it shall appear to the court that the best interests

of creditors, policyholders, and the public require, the court may issue an

order to liquidate in whatever terms it shall deem appropriate. The filing or

recording of the order with the clerk of the superior court for the county of

Providence, or the recorder of deeds of the city or town in which the principal

business of the company is located or the city or town in which its principal

office or place of business is located, shall impart the same notice as a deed,

bill of sale, or other evidence of title duly filed or recorded with that

recorder of deeds would have imparted.



   (d) If a domiciliary liquidator is appointed in a reciprocal

state while a liquidation is proceeding under this section, the liquidator

under this section shall after this act as ancillary receiver under §

27-14.3-57. If a domiciliary liquidator is appointed in a nonreciprocal state

while a liquidation is proceeding under this section, the liquidator under this

section may petition the court for permission to act as ancillary receiver

under § 27-14.3-57.



   (e) On the same grounds as are specified in subsection (a) of

this section, the commissioner may petition any appropriate federal district

court to be appointed receiver to liquidate that portion of the insurer's

assets and business over which the court will exercise jurisdiction, or any

lesser of the assets and business that the commissioner deems desirable for the

protection of the policyholders and creditors in this state.



   (f) The court may order the commissioner, when he or she has

liquidated the assets of a foreign or alien insurer under this section, to pay

the claims of residents of this state against the insurer under any rules as to

the liquidation of insurers under this chapter as are compatible with the

provisions of this section.



History of Section.

(P.L. 1993, ch. 248, § 1.)