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The Civil Proceedings Rules, 1998

Part 52

Appointment of Receiver

Contents of this Part

Scope of this Part Rule 52.1
Application for appointment of receiver and injunction Rule 52.2
Conditions for appointment of receiver Rule 52.3
Giving of security by receiver Rule 52.4
Remuneration of receiver Rule 52.5
Receiver's powers Rule 52.6
Accounts of receiver Rule 52.7
Payment of balance into court Rule 52.7
Default by receiver Rule 52.8

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Scope of this Part

52.1 This part deals with the appointment of a receiver and includes an application to appoint a receiver to obtain payment of the judgment debt from the income or capital assets of the judgment debtor.

 

Application for appointment of a receiver and injunction

52.2 (1) An application for the appointment of a receiver must

be supported by evidence.

(2) The applicant may also apply for an injunction to restrain the

judgment debtor or other respondent from assigning, charging or

otherwise dealing with any property identified in the application.

(3) Where an application for an immediate injunction is made, the

application for the appointment of a receiver and for an injunction may be made without notice.

 

Conditions for appointment of a receiver

52.3 In deciding whether to appoint a receiver to recover a judgment debt the

court must have regard to -

(a) the amount of the judgment debt; and

(b) the amount likely to be obtained by the receiver; and

(c) the probable cost of appointing and remunerating the receiver.

 

Giving of security by receiver

52.4 (1) The general rule is that a person may not be appointed receiver

until he has given security.

(2) The court may however dispense with security.

(3) The order appointing the receiver must state the amount of the security.

(4) The security must be by guarantee unless the court makes some other order

(5) The guarantee or other security must be filed at the court

Remuneration of receiver

52.5 The receiver may be allowed such remuneration as the court may direct.

 

Receiver's powers

52.6 A receiver's powers operate to the exclusion of the powers of the judgment debtor for the duration of the receiver's appointment.

 

Accounts of receiver

52.7 (1) The order appointing a receiver must direct on what dates the

receiver must file accounts.

(2) Unless the court orders otherwise the account must be verified

by affidavit.

(3) The receiver must serve a copy of the account on the judgment

creditor.

(4) The judgment creditor must obtain an appointment to pass the

account.

(5) The passing of the account must be verified by a master

 

Payment of balance into court

52.8 The receiver must pay into court any balance shown on his accounts as

due from him within 7 days of the passing of any account.

 

Default by receiver

52.9 (1) This rule applies if the receiver

(a) fails to submit an account by the date ordered; or

(b) fails to attend for the passing of any account; or

(c) fails to pay into court any balance shown on the account as due from him.

(2) The applicant must ask the court office to fix a hearing for the

receiver to show cause for his failure.

(3) The court office must issue a notice stating the date time and

place of the hearing to show cause.

(4) The applicant must serve the notice on the receiver at least 7

days before the hearing.

(5) At the hearing the court may -

(a) give directions to remedy the default; or

(b) give directions for the discharge of the receiver; and

(c) appoint another receiver; and

(d) disallow any remuneration claimed by the receiver; and

(e) order the receiver to -

(i) pay the costs of the applicant as assessed by

the court; and

(ii) pay interest at the statutory rate on any monies

which may appear from a subsequent account to

be due from him.

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