{"id":10011,"date":"2020-12-07T19:00:09","date_gmt":"2020-12-08T00:00:09","guid":{"rendered":"http:\/\/www.irasmithinc.com\/blog\/?p=10011"},"modified":"2020-12-29T18:23:22","modified_gmt":"2020-12-29T23:23:22","slug":"court-appointed-receiverships","status":"publish","type":"post","link":"https:\/\/irasmithinc.com\/blog\/court-appointed-receiverships\/","title":{"rendered":"COURT APPOINTED RECEIVERSHIPS: THE EASIEST WAY TO AVOID COSTLY MISTAKES"},"content":{"rendered":"<figure id=\"attachment_10013\" aria-describedby=\"caption-attachment-10013\" style=\"width: 1280px\" class=\"wp-caption aligncenter\"><a href=\"https:\/\/www.google.com\/maps\/dir\/Canada&#039;s+Wonderland,+Canada&#039;s+Wonderland+Drive,+Vaughan,+ON\/Ira+Smith+Trustee+%26+Receiver+Inc.,+167+Applewood+Crescent+%236,+Concord,+ON+L4K+4K7\/@43.8253932,-79.5476613,14z\/data=!3m1!4b1!4m13!4m12!1m5!1m1!1s0x882b2f4b21b97b7b:0x87a6830532b2fcfc!2m2!1d-79.5394625!2d43.8430176!1m5!1m1!1s0x882b2f0ae005a70f:0x7fde3a2e744a0e1c!2m2!1d-79.5340868!2d43.8075903\" target=\"_blank\" rel=\"noopener\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-10013\" src=\"http:\/\/www.irasmithinc.com\/blog\/wp-content\/uploads\/2020\/12\/court-appointed-receiverships.jpg\" alt=\"court appointed receiverships\" width=\"1280\" height=\"720\" data-wp-pid=\"10013\" data-pin-nopin=\"nopin\" title=\"\" srcset=\"https:\/\/irasmithinc.com\/blog\/wp-content\/uploads\/2020\/12\/court-appointed-receiverships.jpg 1280w, https:\/\/irasmithinc.com\/blog\/wp-content\/uploads\/2020\/12\/court-appointed-receiverships-300x169.jpg 300w, https:\/\/irasmithinc.com\/blog\/wp-content\/uploads\/2020\/12\/court-appointed-receiverships-1024x576.jpg 1024w, https:\/\/irasmithinc.com\/blog\/wp-content\/uploads\/2020\/12\/court-appointed-receiverships-768x432.jpg 768w, https:\/\/irasmithinc.com\/blog\/wp-content\/uploads\/2020\/12\/court-appointed-receiverships-1200x675-cropped.jpg 1200w, https:\/\/irasmithinc.com\/blog\/wp-content\/uploads\/2020\/12\/court-appointed-receiverships-150x84.jpg 150w\" sizes=\"auto, (max-width: 1280px) 100vw, 1280px\" \/><\/a><figcaption id=\"caption-attachment-10013\" class=\"wp-caption-text\">court appointed receiverships<\/figcaption><\/figure>\n<p><a href=\"https:\/\/www.google.com\/maps\/dir\/43.8304768,-79.5082752\/bankruptcy+trustee+vaughan\/@43.8117097,-79.5412497,13z\/data=!3m1!4b1!4m9!4m8!1m1!4e1!1m5!1m1!1s0x882b2f0ae005a70f:0x7fde3a2e744a0e1c!2m2!1d-79.5340868!2d43.8075903\" target=\"_blank\" rel=\"noopener\"><b>The<\/b><\/a><a href=\"https:\/\/www.irasmithinc.com\/\"> <b><i>Ira Smith Trustee Team<\/i><\/b><\/a><b> is absolutely operational and Ira, in addition to Brandon Smith, is readily available for a telephone consultation or video meeting.\u00a0 We hope that you and your family are safe and healthy.<\/b><\/p>\n<h4 id='if-you-would-prefer-to-listen-to-the-audio-version-of-this-court-appointed-receiverships-brandon-s-blog-please-scroll-to-the-bottom-and-click-play-on-the-podcast'  id=\"boomdevs_1\"><span style=\"font-weight: 400;\">If you would prefer to listen to the audio version of this <\/span><strong><i>court appointed receiverships <\/i><\/strong><span style=\"font-weight: 400;\">Brandon&#8217;s Blog, please scroll to the bottom and click play on the podcast.<\/span><\/h4>\n<h2 id='court-appointed-receiverships-introduction'  id=\"boomdevs_2\"><b><i>Court appointed receiverships<\/i><\/b><b> introduction<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">I have written several blogs before on receivership, be they <\/span><b><i>court appointed receiverships<\/i><\/b><span style=\"font-weight: 400;\"> or private appointments.\u00a0 The purpose of this blog is to discuss a recent court decision involving a big mistake made by a <\/span><i><span style=\"font-weight: 400;\">court-appointed receiver<\/span><\/i><span style=\"font-weight: 400;\"> and why the court would not let them fix their error.\u00a0 That mistake cost them big time!<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Some previous <\/span><i><span style=\"font-weight: 400;\">court appointed receiverships<\/span><\/i><span style=\"font-weight: 400;\"> blogging<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In reviewing the court case, three previous blogs of mine on <\/span><i><span style=\"font-weight: 400;\">court appointed receiverships<\/span><\/i><span style=\"font-weight: 400;\"> came to mind:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><a href=\"http:\/\/www.irasmithinc.com\/blog\/courts-of-justice-act-court-of-appeal-for-ontario\/\"><span style=\"font-weight: 400;\">Courts of Justice Act:\u00a0 Court of Appeal For Ontario Creates New Rule?<\/span><\/a><\/li>\n<li style=\"font-weight: 400;\"><a href=\"http:\/\/www.irasmithinc.com\/blog\/licensed-insolvency-trustee-3\/\"><span style=\"font-weight: 400;\">Licensed Insolvency Trustee Receiver Appointed By Court Errors To Avoid<\/span><\/a><\/li>\n<li style=\"font-weight: 400;\"><a href=\"http:\/\/www.irasmithinc.com\/blog\/court-appointed-receiver\/\"><span style=\"font-weight: 400;\">Top Court Appointed Receiver Secret:\u00a0 Details Matter<\/span><\/a><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The first one dealt with certain procedural matters in <\/span><i><span style=\"font-weight: 400;\">court appointed receiverships<\/span><\/i><span style=\"font-weight: 400;\"> when the receiver sells real estate.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The second blog dealt with factors a court-appointed receiver must disclose to the court in seeking court approval for a sale of assets.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The third one was about what happens when a court-appointed receiver applies to the court for some relief without knowing all the details of the story they are telling the court!\u00a0 That is very embarrassing for receivers in <\/span><i><span style=\"font-weight: 400;\">court appointed receiverships<\/span><\/i><span style=\"font-weight: 400;\">!<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The recent case I will shortly speak about reminded me of these three previous blogs.\u00a0 You will see the connection very soon, I promise.<\/span><\/p>\n<h2 id='what-happens-when-a-company-goes-into-receivership'  id=\"boomdevs_3\"><b>What happens when a company goes into <\/b><b><i>receivership<\/i><\/b><b>?<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">When the company enters into <\/span><i><span style=\"font-weight: 400;\">receivership<\/span><\/i><span style=\"font-weight: 400;\">, senior management and the Directors shed most of their authority for decision making. The Directors&#8217; general company obligations of preserving corporate records remain, yet any type of decision-making regarding the running of the business or its assets have vanished.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">That is now the role of the <\/span><i><span style=\"font-weight: 400;\">receiver<\/span><\/i><span style=\"font-weight: 400;\">. This is true for a <\/span><i><span style=\"font-weight: 400;\">privately appointed receiver<\/span><\/i><span style=\"font-weight: 400;\"> but it is especially so in <\/span><a href=\"http:\/\/www.irasmithinc.com\/blog\/what-is-receivership-receivership-order\/\"><i><span style=\"font-weight: 400;\">court-appointed receiverships<\/span><\/i><\/a><span style=\"font-weight: 400;\">. That is because the court is now supervising all the company&#8217;s affairs and assets through its court officer, the <\/span><em><a href=\"https:\/\/canada.ca\/en\/revenue-agency\/services\/tax\/businesses\/topics\/changes-your-business\/receivership-bankruptcy\/receivership.html\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">receiver<\/span><\/a><\/em><span style=\"font-weight: 400;\">.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Responsibilities concerning the business in a practical sense stop upon the receiver being appointed. Their recommendations and help are only needed if requested by the receiver. They definitely will not be paid for any kind of initiative unless the receiver concurs in writing to make funds available for them in return for their services.<\/span><\/p>\n<h2 id='what-are-the-duties-of-a-receiver'  id=\"boomdevs_4\"><b>What are the <\/b><b><i>duties of a receiver<\/i><\/b><b>?<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">The receiver&#8217;s first task is to take possession of and control all of the assets, properties and undertaking covered by the <\/span><i><span style=\"font-weight: 400;\">secured creditor&#8217;s security<\/span><\/i><span style=\"font-weight: 400;\"> in a <\/span><i><span style=\"font-weight: 400;\">private <\/span><\/i><a href=\"https:\/\/www.investopedia.com\/terms\/r\/receivership.asp\" target=\"_blank\" rel=\"noopener\"><i><span style=\"font-weight: 400;\">receivership<\/span><\/i><\/a><span style=\"font-weight: 400;\">.\u00a0 In <em>court appointed receiverships<\/em>, the <\/span><i><span style=\"font-weight: 400;\">receiver&#8217;s powers<\/span><\/i><span style=\"font-weight: 400;\"> and actions come from the authority given to it by way of the court order appointing the receiver.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The receiver needs to make a decision whether it can get a greater amount for the assets if it runs the business. Conversely, the receiver may choose that the danger of operating the business is not worth it in terms of any type of upside value that may be gained from running the business.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The receiver after that creates a strategy for the running or the shuttering of the business as well as for the eventual sale of the assets. The kind of <\/span><i><span style=\"font-weight: 400;\"><a href=\"http:\/\/www.irasmithinc.com\/blog\/receivership-meaning\/\">receivership<\/a> appointment<\/span><\/i><span style=\"font-weight: 400;\"> and the nature of the business operations and assets will dictate what approach the receiver will take. In the meantime, the receiver must protect and conserve all the assets, including making sure there is sufficient insurance coverage in place.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In a <\/span><i><span style=\"font-weight: 400;\">private appointment<\/span><\/i><span style=\"font-weight: 400;\">, the receiver requires to obtain the authorization of the secured creditor who appointed the receiver prior to implementing its plan and taking actions concerning the running of the business and the sale of the assets. In <\/span><i><span style=\"font-weight: 400;\">court appointed receiverships<\/span><\/i><span style=\"font-weight: 400;\">, the receiver requires the approval of the court.<\/span><\/p>\n<h2 id='the-court-appointment-case'  id=\"boomdevs_5\"><b>The Court appointment case<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">This court case dealt with some very unique issues.\u00a0 The receiver was originally appointed by the court under the <\/span><i><span style=\"font-weight: 400;\">Courts of Justice Act<\/span><\/i><span style=\"font-weight: 400;\"> (Ontario) and the <\/span><i><span style=\"font-weight: 400;\">Bankruptcy and Insolvency Act<\/span><\/i><span style=\"font-weight: 400;\"> (Canada).\u00a0 The receiver was making a motion for advice and directions about it wanting approval for its fees and disbursements since the last approval order.\u00a0 It also wanted approval to make an interim distribution.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">That seems pretty routine.\u00a0 It was the receiver&#8217;s fifth report to the court.\u00a0 The motion was opposed by the company whose assets were seized in the receivership.\u00a0 There was only one problem that caused that party to oppose the receiver&#8217;s motion.\u00a0 However, it was a humungous problem this receiver caused itself.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The problem is that the receiver obtained approvals from the court based on the information contained in its fourth <\/span><i><span style=\"font-weight: 400;\">report to the court<\/span><\/i><span style=\"font-weight: 400;\"> and now the receiver was asking for something different!<\/span><\/p>\n<h2 id='court-appointed-receiverships-a-brief-history-of-this-court-appointed-receivership'  id=\"boomdevs_6\"><b><i>Court appointed receiverships<\/i><\/b><b>:\u00a0 A brief history of this court-appointed receivership<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">The major <\/span><i><span style=\"font-weight: 400;\">secured creditor<\/span><\/i><span style=\"font-weight: 400;\"> who made a <\/span><i><span style=\"font-weight: 400;\">secured loan<\/span><\/i><span style=\"font-weight: 400;\"> against a real estate project under both mortgage security and a general <\/span><i><span style=\"font-weight: 400;\">security agreement<\/span><\/i><span style=\"font-weight: 400;\"> began <\/span><i><span style=\"font-weight: 400;\">court proceedings<\/span><\/i><span style=\"font-weight: 400;\"> by making an application to the Ontario Superior Court of Justice Commercial List for the <\/span><i><span style=\"font-weight: 400;\">court appointment<\/span><\/i><span style=\"font-weight: 400;\"> of a receiver.\u00a0 On June 22, 2017, Justice Conway released an Order appointing the receiver in this matter (the Receiver).<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The Order followed the model receivership order format and had the usual provisions. Specifically, it mentioned in paragraph 18 that &#8220;the Receiver\u2019s Charge shall form a first charge in priority to all security interests, trusts, liens, charges and encumbrances, statutory or otherwise, in favour of any Person&#8230;.\u201d.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The Receiver performed its duties and filed reports with the court on a timely basis and received the necessary approvals along the way.\u00a0 So far so good with the first three court reports.<\/span><\/p>\n<h2 id='the-fourth-report-was-ok-too'  id=\"boomdevs_7\"><b>The fourth report was OK too<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">In November 2019 the Receiver brought a motion for Justice Dietrich to approve its Fourth Report and also its Supplementary Fourth Report. The same stakeholder currently opposing the Receiver&#8217;s motion for advice and directions also challenged certain of the Receiver&#8217;s recommendations contained in its Fourth Report.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">It turns out that from the Receiver&#8217;s efforts and sale of the real property, there was not only enough money to pay out all the secured creditors, but there were funds left over.\u00a0 This is a very unusual situation.\u00a0 So the Receiver came to court.\u00a0 One of the approvals it was seeking was its proposal to pay the claims of the unsecured creditors.\u00a0 This company opposed that relief claiming the unsecured creditors were statute-barred.\u00a0 The reason the company opposed this is simple.\u00a0 Whatever the unsecured creditors are not entitled to would presumably be available to flow to the shareholders of the company.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Justice Dietrich looked for further written materials on this issue from the parties which were received on March 16 and 31, 2020. Justice Dietrich considered all the material and released her endorsement on this issue on June 19, 2020.\u00a0\u00a0<\/span><\/p>\n<figure id=\"attachment_10013\" aria-describedby=\"caption-attachment-10013\" style=\"width: 1280px\" class=\"wp-caption aligncenter\"><img loading=\"lazy\" decoding=\"async\" class=\"size-full wp-image-10013\" src=\"http:\/\/www.irasmithinc.com\/blog\/wp-content\/uploads\/2020\/12\/court-appointed-receiverships.jpg\" alt=\"court appointed receiverships\" width=\"1280\" height=\"720\" data-wp-pid=\"10013\" data-pin-nopin=\"nopin\" title=\"\" srcset=\"https:\/\/irasmithinc.com\/blog\/wp-content\/uploads\/2020\/12\/court-appointed-receiverships.jpg 1280w, https:\/\/irasmithinc.com\/blog\/wp-content\/uploads\/2020\/12\/court-appointed-receiverships-300x169.jpg 300w, https:\/\/irasmithinc.com\/blog\/wp-content\/uploads\/2020\/12\/court-appointed-receiverships-1024x576.jpg 1024w, https:\/\/irasmithinc.com\/blog\/wp-content\/uploads\/2020\/12\/court-appointed-receiverships-768x432.jpg 768w, https:\/\/irasmithinc.com\/blog\/wp-content\/uploads\/2020\/12\/court-appointed-receiverships-1200x675-cropped.jpg 1200w, https:\/\/irasmithinc.com\/blog\/wp-content\/uploads\/2020\/12\/court-appointed-receiverships-150x84.jpg 150w\" sizes=\"auto, (max-width: 1280px) 100vw, 1280px\" \/><figcaption id=\"caption-attachment-10013\" class=\"wp-caption-text\">court appointed receiverships<\/figcaption><\/figure>\n<h2 id='court-appointed-receiverships-justice-dietrich-s-decision'  id=\"boomdevs_8\"><b><i>Court appointed receiverships<\/i><\/b><b>:\u00a0 Justice Dietrich&#8217;s decision<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">Justice Dietrich&#8217;s Order approved the Receiver&#8217;s Fourth Report and Supplementary Fourth Report (the Fourth Approval Order) as well as payment to the Receiver of its fees of $373,960.75 plus HST plus an accrual of $25,000 plus HST to finish the management of the receivership. The Order additionally authorized the Receiver&#8217;s legal fees of $85,218.23 plus HST and an accrual of $15,000 plus HST for concluding the administration of the receivership.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The Fourth Approval Order approved making payment to the unsecured creditors in the amount of $190,800.71. Those payouts were made without delay by the Receiver even prior to the appeal time for appealing the Fourth Approval Order expired. The remaining funds were to be paid out to the company who opposed the motion, or as the company may direct.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The Receiver made all the payments except for one.\u00a0 The funds to be paid to the company involved in the receivership, which was more than $1 million, had not been paid out to the company as of the date the Receiver came to court with its Fifth Report.\u00a0<\/span><\/p>\n<h2 id='court-appointed-receiverships-oops-we-need-a-fifth-report-to-court'  id=\"boomdevs_9\"><b><i>Court appointed receiverships<\/i><\/b><b>:\u00a0 OOPS &#8211; We need a fifth report to court<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">The Fourth Approval Order was settled with the consent of all stakeholders. That order was obtained on the basis that there was not much work left to do and it would be covered off by the approved fee accruals.\u00a0 The Receiver and its lawyer were to finish its work and then file a certificate with the court to advise the work was finished.\u00a0 The Fourth Approval Order also said that when the Receiver files the certificate with the court, that is the trigger that discharges the Receiver and ends the receivership.\u00a0 This is all standard stuff.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">There now is only one <\/span><span style=\"font-weight: 400;\">huge<\/span><span style=\"font-weight: 400;\"> problem.\u00a0 <\/span><span style=\"font-weight: 400;\">Subsequent to the Fourth Approval Order being issued and entered, the Receiver requested more money for its fee and its legal fees, well above what it told the court already.\u00a0 The further amount it was seeking was pretty close to an extra $100,000.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The Receiver then delivered a Fifth Report laying out the added costs asked for and also documenting an added HST Refund and accumulated interest. The Receiver acknowledged that it made an error.\u00a0 The Receiver also acknowledged that it could have brought this to everyone&#8217;s attention before the Fourth Approval Order was settled, issued and entered and the appeal period already has expired.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Personally, I call that more than an error.\u00a0 That is a <\/span><span style=\"font-weight: 400;\">huge problem<\/span><span style=\"font-weight: 400;\">.\u00a0 It is a major blow to the firms\u2019 revenue and cash flow.\u00a0 If not resolved in the Receiver&#8217;s favour, it will most certainly cause much angst among the partners in the <\/span><i><span style=\"font-weight: 400;\">licensed insolvency trustee<\/span><\/i><span style=\"font-weight: 400;\"> firm.<\/span><\/p>\n<h2 id='court-appointed-receiverships-the-fifth-report-to-court-hearing-and-what-the-two-parties-said'  id=\"boomdevs_10\"><b>Court appointed receiverships:\u00a0 The Fifth Report To Court hearing and what the two parties said<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">The Receiver&#8217;s position was fairly simple.\u00a0 They really didn&#8217;t have much they could say at this stage, other than, OOPS!\u00a0 The Receiver submitted that the <\/span><span style=\"font-weight: 400;\">Receivership Order appointing the Receiver is clear.\u00a0 Unless the Court orders otherwise, the Receiver will obtain its reasonable fees and costs and those of its legal counsel.\u00a0 Those fees and costs are secured by a first ranking charge against the assets being administered in the receivership.\u00a0\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">All other amounts come after this first charge.\u00a0 The Receiver went on to say that the Appointment Order and the Fourth Approval Order were therefore in conflict and the Appointment Order must prevail.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The company in opposing the Receiver&#8217;s motion had some pretty simple facts on its side.\u00a0 The court agreed with these facts.\u00a0 The court stated that:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The Receiver only brought this motion on in response to the company&#8217;s attempt to set down a date for its motion to compel the Receiver to make the $1 million-plus payment to it as directed by the Fourth Approval Order.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The company agreed to the settling of the Fourth Approval Order based on the Receiver&#8217;s submissions to the court that what it put in its Fourth Reports was everything and there was.\u00a0 There was nothing else getting in the way of making all the payments approved in the Fourth Approval Order.<\/span><\/li>\n<li style=\"font-weight: 400;\"><span style=\"font-weight: 400;\">The Fourth Approval Order was intended <\/span><span style=\"font-weight: 400;\">to be final and for that reason<\/span><span style=\"font-weight: 400;\"><br \/>\n<\/span><span style=\"font-weight: 400;\">incorporates the provisions of the Appointment Order. That is, it is open to the court to find that the Receiver has no capacity to request more fees since the clear objective of the Fourth Approval Order is to wrap up all issues including the discontinuation of the receivership.<\/span><\/li>\n<\/ul>\n<p><span style=\"font-weight: 400;\">The Receiver conceded that the details pertaining to the extra fees was known at the time the Fourth Approval Order was being settled and also after that. However, the Receiver took no particular actions to request them prior to the Order being settled and entered.\u00a0 The only action taken by the Receiver was this Motion for Directions supplied in reply to the company\u2019s motion request to get paid what was already approved by the court.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The <\/span><i><span style=\"font-weight: 400;\">Commercial List<\/span><\/i><span style=\"font-weight: 400;\"> court understood that the Receiver has undoubtedly made an error. The question the court needed to answer was who should pay for it &#8211; the Receiver or the company? The court decided that it should not be the company who settled the Fourth Approval Order understanding what its terms were, including, there was nothing standing in the way of it getting its money as already approved by the court.<\/span><\/p>\n<h2 id='the-easiest-way-to-avoid-costly-mistakes'  id=\"boomdevs_11\"><b>The easiest way to avoid costly mistakes<\/b><\/h2>\n<p><i><span style=\"font-weight: 400;\">Court appointed receiverhips<\/span><\/i><span style=\"font-weight: 400;\">, by their very nature, are complex administrations.\u00a0 Being a <\/span><i><span style=\"font-weight: 400;\">receiver<\/span><\/i><span style=\"font-weight: 400;\"> or a <\/span><i><span style=\"font-weight: 400;\">receiver manager<\/span><\/i><span style=\"font-weight: 400;\"> is a tough role.\u00a0 A court-appointed receiver must be fair and neutral to all parties as an officer of the court.\u00a0 Everyone is scrutinizing the decisions being made.\u00a0 Once a court-appointed receiver serves its motion materials, everyone goes through the receiver&#8217;s report with a fine-tooth comb.\u00a0 And rightly so.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">It is not a good place to be when you make any kind of error in a public document.\u00a0 It is embarrassing and it makes everyone else wonder what other mistakes have you made?\u00a0 It is especially tough when your mistake short changes your firm out of the money that it has earned.\u00a0 These are awful circumstances.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">By now you probably realize that you don&#8217;t have to be a <\/span><i><span style=\"font-weight: 400;\">licensed insolvency trustee<\/span><\/i><span style=\"font-weight: 400;\"> to know the easiest way to avoid costly mistakes.\u00a0 Check, double-check and triple-check everything before you sign and release the report.\u00a0 As my carpenter friend says, &#8220;measure twice and cut once&#8221;.<\/span><\/p>\n<h2 id='court-appointed-receiverships-summary'  id=\"boomdevs_12\"><b><i>Court appointed receiverships<\/i><\/b><b> summary<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">I hope you have enjoyed this <\/span><i><span style=\"font-weight: 400;\">court appointed receiverships <\/span><\/i><span style=\"font-weight: 400;\">Brandon\u2019s Blog.\u00a0 A sick insolvent company\u2019s business might be saved by a debt restructuring.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Do you or your company have too much debt? Are you or your company in need of financial restructuring? The financial restructuring process is complex. The <\/span><a href=\"http:\/\/www.irasmithinc.com\/contact_us.html\"><span style=\"font-weight: 400;\">Ira Smith Team<\/span><\/a><span style=\"font-weight: 400;\"> understands how to do a complex restructuring. However, more importantly, we understand the needs of the entrepreneur or the person who has too much personal debt.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">You are worried because you are facing significant financial challenges.\u00a0 It is not your fault that you are in this situation. You have been only shown the old ways that do not work anymore. The <\/span><a href=\"http:\/\/www.irasmithinc.com\/contact_us.html\"><span style=\"font-weight: 400;\">Ira Smith Team<\/span><\/a><span style=\"font-weight: 400;\"> uses new modern ways to get you out of your debt troubles while avoiding bankruptcy. We can get you debt relief freedom.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The stress placed upon you is huge. We understand your pain points. We look at your entire situation and devise a strategy that is as unique as you and your problems; financial and emotional. The way we take the load off of your shoulders and devise a debt settlement plan, we know that we can help you.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">We know that people facing financial problems need a realistic lifeline. There is no \u201cone solution fits all\u201d approach with the <\/span><a href=\"http:\/\/www.irasmithinc.com\/contact_us.html\"><span style=\"font-weight: 400;\">Ira Smith Team<\/span><\/a><span style=\"font-weight: 400;\">.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">That is why we can develop a restructuring process as unique as the financial problems and pain you are facing. If any of this sounds familiar to you and you are serious about finding a solution, <\/span><a href=\"http:\/\/www.irasmithinc.com\/contact_us.html\"><span style=\"font-weight: 400;\">contact the <em>Ira Smith Trustee &amp; Receiver Inc.<\/em> team today.<\/span><\/a><\/p>\n<p><a href=\"http:\/\/www.irasmithinc.com\/contact_us.html\"><span style=\"font-weight: 400;\">Call us now for a free consultation.<\/span><\/a><\/p>\n<p><span style=\"font-weight: 400;\">We will get you or your company back on the road to healthy stress-free operations and recover from the pain points in your life, Starting Over, Starting Now.<\/span><\/p>\n<p><a href=\"https:\/\/www.google.com\/maps\/dir\/43.8304768,-79.5082752\/bankruptcy+trustee+vaughan\/@43.8117097,-79.5412497,13z\/data=!3m1!4b1!4m9!4m8!1m1!4e1!1m5!1m1!1s0x882b2f0ae005a70f:0x7fde3a2e744a0e1c!2m2!1d-79.5340868!2d43.8075903\" target=\"_blank\" rel=\"noopener\"><b>The<\/b><\/a><a href=\"https:\/\/www.irasmithinc.com\/\"> <b><i>Ira Smith Trustee Team<\/i><\/b><\/a><b> is absolutely operational and Ira, in addition to Brandon Smith, is readily available for a telephone consultation or video meeting.\u00a0 We hope that you and your family are safe and healthy<\/b><\/p>\n<p><iframe loading=\"lazy\" src=\"https:\/\/www.youtube.com\/embed\/nBlwaAOyR4g\" width=\"789\" height=\"444\" frameborder=\"0\" allowfullscreen=\"allowfullscreen\"><\/iframe><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Ira Smith Trustee Team is absolutely operational and Ira, in addition to Brandon Smith, is readily available for a telephone consultation or video meeting.\u00a0 We hope that you and your family are safe and healthy. If you would prefer to listen to the audio version of this court appointed receiverships Brandon&#8217;s Blog, please scroll [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[3936,4572,4568,4570,428,3646,4571,863,4488,1555,89,2511,4569],"class_list":["post-10011","post","type-post","status-publish","format-standard","hentry","category-brandon-blog-post","tag-appointment-order","tag-approval-order","tag-court-appointed-receiverships","tag-court-proceedings","tag-court-appointed-receivership","tag-duties-of-a-receiver","tag-first-charge","tag-ira-smith-trustee","tag-private-appointment","tag-receiver-manager","tag-receivership","tag-secured-creditor","tag-security-agreement"],"_links":{"self":[{"href":"https:\/\/irasmithinc.com\/blog\/wp-json\/wp\/v2\/posts\/10011","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/irasmithinc.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/irasmithinc.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/irasmithinc.com\/blog\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/irasmithinc.com\/blog\/wp-json\/wp\/v2\/comments?post=10011"}],"version-history":[{"count":5,"href":"https:\/\/irasmithinc.com\/blog\/wp-json\/wp\/v2\/posts\/10011\/revisions"}],"predecessor-version":[{"id":10023,"href":"https:\/\/irasmithinc.com\/blog\/wp-json\/wp\/v2\/posts\/10011\/revisions\/10023"}],"wp:attachment":[{"href":"https:\/\/irasmithinc.com\/blog\/wp-json\/wp\/v2\/media?parent=10011"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/irasmithinc.com\/blog\/wp-json\/wp\/v2\/categories?post=10011"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/irasmithinc.com\/blog\/wp-json\/wp\/v2\/tags?post=10011"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}