Section 9-418 - Stay of proceedings; default judgments.
§ 9-418. Stay of proceedings; default judgments.
(a) Stay of proceedings.- To allow proper legal action by the Corporation on any matter germane to its powers or duties, each proceeding in which the impaired insurer is a party in a court in the State shall be stayed for 60 days after the date an order of liquidation, rehabilitation, or conservation is final.
(b) Default judgments.- If a court enters a judgment under a decision, order, verdict, or finding based on default, the Corporation may:
(1) apply to have the judgment, decision, order, verdict, or finding set aside by the same court that made it; and
(2) defend against the suit on the merits.
[An. Code 1957, art. 48A, § 537; 1996, ch. 11.]