Lienholders Made Parties; Divestment by Receiver's Sale

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Persons holding liens on property in the hands of a receiver may be made parties to the case at any time. Unless otherwise provided in the order, liens upon the property held by any parties to the record, shall be dissolved by the receiver's sale and transferred to the funds arising from the sale of the property.

(Civil Code 1895, § 4911; Civil Code 1910, § 5486; Code 1933, § 55-312.)

Law reviews.

- For article, "Buying Distressed Commercial Real Estate: What are the Alternatives?," see 16 (No. 4) Ga. St. B.J. 18 (2010).

JUDICIAL DECISIONS

Sale by receiver could not divest lien of judgment of person not a party. McLaughlin v. Taylor, 115 Ga. 671, 42 S.E. 30 (1902); Denny v. Broadway Nat'l Bank, 118 Ga. 221, 44 S.E. 982 (1903).

Cited in Armour Car Lines v. Summerour, 5 Ga. App. 619, 63 S.E. 667 (1909); Head v. Trustees of Jesse Parker Williams Hosp., 190 Ga. 360, 9 S.E.2d 171 (1940); Jones v. Staton, 78 Ga. App. 890, 52 S.E.2d 481 (1949); Masters v. Pardue, 91 Ga. App. 684, 86 S.E.2d 704 (1955).

RESEARCH REFERENCES

Am. Jur. 2d.

- 66 Am. Jur. 2d, Receivers, §§ 343, 344, 394.

C.J.S.

- 75 C.J.S., Receivers, §§ 281 et seq., 308.

ALR.

- Power of court to authorize or direct receiver (or trustee in bankruptcy) to sell property free from liens, 35 A.L.R. 255; 78 A.L.R. 458; 120 A.L.R. 921.


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