§ 58-30-130. Actions by and against liquidator.
§ 58‑30‑130. Actions by and against liquidator.
(a) Upon the issuanceof an order appointing a liquidator of a domestic insurer or of an alieninsurer domiciled in this State, no action at law or equity shall be broughtagainst the insurer or liquidator, whether in this State or elsewhere, norshall any such existing actions be maintained or further presented afterissuance of such order. The Court shall give full faith and credit toinjunctions against the liquidator or the insurer or the continuation of existingactions against the liquidator or the insurer, when such injunctions areincluded in an order to liquidate an insurer issued pursuant to correspondingprovisions in other states. Whenever, in the liquidator's judgment, protectionof the estate of the insurer necessitates intervention in an action against theinsurer that is pending outside this State, he may intervene in the action. Theliquidator may defend any action in which he intervenes under this section atthe expense of the estate of the insurer.
(b) The liquidator may,upon or after an order for liquidation, within two years or such subsequenttime period as applicable law may permit, institute an action or proceeding onbehalf of the estate of the insurer upon any cause of action against which theperiod of limitation fixed by applicable law has not expired at the time of thefiling of the petition upon which such order is entered. Where (i) by anyagreement, a period of limitation is fixed for instituting a suit or proceedingupon any claim, or for filing any claim, proof of claim, proof of loss, demand,notice, or the like; or (ii) in any proceeding, judicial or otherwise, a periodof limitation is fixed, either in the proceeding or by applicable law, fortaking any action, filing any claim or pleading, or doing any act; and (iii) inany such case the period had not expired at the date of the filing of thepetition; the liquidator may, for the benefit of the estate, take any suchaction or do any such act, required of or permitted to the insurer, within aperiod of 180 days subsequent to the entry of an order for liquidation, orwithin such further period as is shown to the satisfaction of the Court not tobe unfairly prejudicial to the other party.
(c) Any domestic orforeign guaranty association has standing to appear in any Court proceedingconcerning the liquidation of an insurer if such association is or may becomeliable to act as a result of the liquidation. (1989, c. 452, s. 1; 2009‑570, s. 27.)