26:2H-42. Receivership authorized
a. The court is authorized and empowered to appoint as a receiver any responsible person or persons approved by the department, except that no owner, licensee or administrator of the home shall be appointed as receiver.
b. The receiver, in his discretion, may either (1) assume the role of administrator or manager and take control of all day-to-day operations, or (2) direct the administrator or manager on actions and procedure to be taken to eliminate or rectify the conditions specified in the complaint.
c. With the approval of the court the receiver shall have any or all of the following powers:
(1) To hire any consultants or to undertake any studies of the home he deems appropriate.
(2) To make any repairs, improvements or expenditures to eliminate the conditions specified in the complaint and to direct the method or procedures by which this shall be accomplished.
(3) To hire or discharge any employees including the administrator or manager.
(4) To receive or expend in a reasonable and prudent manner the revenues of the home due on the date of the entry of such judgment and to become due under such judgment.
(5) To continue the business of the home and the care of the residents of the home in all its aspects.
(6) To do all acts necessary or appropriate to conserve the property and promote the health, safety or resident care of the residents in the home.
(7) To exercise such other powers as he deems necessary or appropriate to implement the court order.
d. No provision in this section shall limit the right of any owner upon the approval of the department to sell or mortgage any home subject to receivership under this act.
L. 1977, c. 238, s. 7, eff. Sept. 29, 1977. Amended by L. 1986, c. 132, s. 2, eff. Oct. 20, 1986.
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Last modified: October 11, 2016