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Texas Finance Code - Section 36.218. Disposal Of Property; Settling Of Claim

Legal Research Home > Texas Lawyer > Finance Code > Texas Finance Code - Section 36.218. Disposal Of Property; Settling Of Claim

§ 36.218. DISPOSAL OF PROPERTY;  SETTLING OF CLAIM.  (a) 
In liquidating a bank, the receiver on order of the court entered 
with or without hearing may:
		(1)  sell all or part of the property of the bank;                            
		(2)  borrow money and pledge all or part of the assets 
of the bank to secure the debt created, except that the receiver may 
not be held personally liable to repay borrowed money;
		(3)  compromise or compound a doubtful or uncollectible 
debt or claim owed by or owing to the bank;  and
		(4)  enter another agreement on behalf of the bank that 
the receiver considers necessary or proper to the management, 
conservation, or liquidation of its assets.
	(b)  If the amount of a debt or claim owed by or owing to the 
bank or the value of an item of property of the bank does not exceed 
$20,000, excluding interest, the receiver may compromise or 
compound the debt or claim or sell the property on terms the 
receiver considers to be in the best interests of the bank estate 
without obtaining the approval of the court.
	(c)  The receiver may with the approval of the court sell or 
offer or agree to sell an asset of the bank, other than a fiduciary 
asset, to a depositor or creditor of the bank.  Payment may be in 
whole or part out of distributions payable to the purchasing 
depositor or creditor on account of an approved claim against the 
bank's estate.  On application by the receiver, the court may 
designate one or more representatives to act for certain depositors 
or creditors as a class in the purchase, holding, and management of 
assets purchased by the class under this section, and the receiver 
may with the approval of the court advance the expenses of the 
appointed representative against the security of the claims of the 
class.

Acts 1997, 75th Leg., ch. 1008, § 1, eff. Sept. 1, 1997.                   

Last modified: August 10, 2007