2006 Minnesota Statutes

60B.55 ANCILLARY FORMAL PROCEEDINGS.
    Subdivision 1. Appointment of ancillary receiver in this state. If a domiciliary liquidator
has been appointed for an insurer not domiciled in this state, the commissioner shall file a petition
with the District Court for Ramsey County requesting appointment as ancillary receiver in this
state:
(a) if the commissioner finds that there are sufficient assets of the insurer located in this state
to justify the appointment of an ancillary receiver;
(b) if ten or more persons resident in this state having claims against the insurer file a petition
with the commissioner requesting appointment of an ancillary receiver; or
(c) if the protection of creditors or policyholders in this state so requires.
    Subd. 2. Terms of order. The court may issue an order appointing an ancillary receiver in
whatever terms it deems appropriate. The recording of the order with any county recorder in this
state imparts the same notice as a deed, bill of sale, or other evidence of title duly recorded
with that county recorder.
    Subd. 3. Property rights and title; ancillary receivers in this state. When a domiciliary
liquidator has been appointed in a reciprocal state, the ancillary receiver appointed in this state
under subdivision 1 shall have the sole right to recover all the assets of the insurer in this state not
already recovered by the domiciliary liquidator, except that the domiciliary liquidator shall be
entitled to and have the sole right to recover balances due from agents and the books, accounts,
and other records of the insurer. The ancillary receiver shall have the right to recover balances due
from agents and books, accounts, and other records of the insurer, if such action is necessary to
protect the assets because of inaction by the domiciliary liquidator. The ancillary receiver shall, as
soon as practicable, liquidate from their respective securities those special deposit claims and
secured claims which are proved and allowed in the ancillary proceedings in this state, and shall
pay the necessary expenses of the proceedings. The ancillary receiver shall promptly transfer
all remaining assets to the domiciliary liquidator. Subject to this section, the ancillary receiver
and deputies shall have the same powers and be subject to the same duties with respect to the
administration of assets as a liquidator of an insurer domiciled in this state.
    Subd. 4. Property rights and title; foreign ancillary receivers. When a domiciliary
liquidator has been appointed in this state, ancillary receivers appointed in reciprocal states
shall have, as to assets and books, accounts, and other records located in their respective states,
corresponding rights and powers to those prescribed in subdivision 3 for ancillary receivers
appointed in this state.
History: 1969 c 708 s 55; 1976 c 181 s 2; 1986 c 444; 2005 c 4 s 11