523A.811 - RECEIVERSHIPS.
523A.811 RECEIVERSHIPS. 1. The commissioner shall notify the attorney general of the potential need for establishment of a receivership if the commissioner finds that a seller subject to this chapter meets one or more of the following conditions: a. Is insolvent. b. Has utilized trust funds for personal or business purposes in a manner inconsistent with this chapter. c. The amount of funds currently held in trust for cemetery merchandise, funeral merchandise, and funeral services is less than the amount required in section 523A.201, subsection 2 or 3, as applicable. d. Has refused to pay any just claim or demand based on a purchase agreement referred to in section 523A.201. e. The commissioner finds upon investigation that a seller is unable to pay any claim or demand based on a purchase agreement which has been legally determined to be just and outstanding. f. A receivership has been established for a cemetery subject to chapter 523I that is owned or operated by a seller who is subject to this chapter. 2. The commissioner or attorney general may apply to the district court in any county of the state for the establishment of a receivership. Upon proof of any of the grounds for a receivership described in this section, the court may grant a receivership. 3. If a seller who is subject to this chapter owns or operates a cemetery subject to chapter 523I, for which a receivership has been established, the receivership provisions of section 523I.212 shall apply to any receivership established under this section.
Section History: Recent Form 2001 Acts, ch 118, §51; 2007 Acts, ch 175, §30, 31; 2008 Acts, ch 1103, §10 Referred to in § 523A.812