Receivership Services / Distressed Asset Management
Receivership Services and Distressed Asset Management | Nationwide
The receiver's primary responsibility is to safeguard the assets in question and ensure that they are managed effectively to maximize their value. They may also be responsible for restructuring the business or property to make it more profitable and to pay off debts and liabilities.
Receivership services are often used in situations where a business or individual is experiencing financial difficulties and is unable to meet its obligations to creditors. In these cases, the court may appoint a receiver to take control of the assets and manage them in a way that benefits all parties involved, including creditors and stakeholders.
Our Court-Appointed Fiduciary Services
Federal Equity Receiverships
A federal equity receiver is an independent third-party neutral appointed by a federal district court at the request of a regulatory agency to prevent irreparable harm. Once appointed, the receiver is usually charged by the court to protect and preserve assets, locate additional assets, claw-back ill-gotten gains, file third-party litigation, liquidate estate assets, establish a claims procedure and develop a distribution plan to provide restitution to victims in the case. EDS has over 40 years of experience providing receivership services in myriad industries and asset classes.
Our award-winning receivership services have earned us the distinction of being the only Court-Appointed Receiver in the country that the United States Environmental Protection Agency (USEPA) allows to conduct such fiduciary services on active Superfund Sites, and we are pleased to serve as Court-Appointed Keeper (Receiver) for the U.S. Marshals Service for federal court seizures of assets under admiralty jurisdiction.
State Court Receiverships
A state court receiver is appointed by the court to take possession of specific assets, including property or businesses, and to administer them for the benefit of all parties. State court receiverships are usually used as an alternative to bankruptcy, in business disputes, to enforce a judgement or under state regulatory action. EDS has extensive experience being appointed by state courts and working with many state and federal agencies and law firms.
Corporate Monitorships
Regulators frequently require the appointment of a corporate monitor to ensure compliance with the terms of a settlement between a company and a regulator. The appointment of a monitor allows a company time to take corrective actions pursuant to a settlement with the regulator in place of more severe punishment or fines. EDS has deep experience serving as an independent monitor while also working to minimize the impact on the operating business.
Trustee in Bankruptcy
A trustee is an independent third-party neutral assigned to administer a bankrupt estate for the benefit of creditors of the estate. As trustee, EDS has decades of experience in marshaling, protecting, preserving and administering assets for the benefits of creditors.
And as trusted Court-Appointed Custodian/Special Master/Liquidator.
Credible receivership, distressed asset management, and risk-mitigation are critical to the lending process.
Receivership and Distressed Asset Management Services
EDS provides the complete spectrum of Receivership, Turnaround Management, Collateral Management, and Risk Mitigation services across industries and asset classes, real and moveable, tangible and intangible, to financial institutions, creditors, attorneys and law firms, asset-based lenders, leasing companies, private-equity firms, and myriad other stakeholders worldwide.
Receivership services are a type of legal process in which an independent third party, known as a receiver, is appointed by a court or other authorized party to take control of and manage the assets of a company or individual that is in financial distress. The receiver’s primary responsibility is to preserve and protect the assets of the company or individual and to manage them in the best interests of the creditors and other stakeholders.
Receivership services may be used in a variety of situations, including bankruptcy, foreclosure, or other types of financial distress. They can also be used in situations where a company is being liquidated or restructured. In some cases, the receiver is appointed to manage the assets of a company or individual on an interim basis, while in other cases, the receiver is appointed to manage the assets permanently.
The receiver’s responsibilities may include:
-Taking possession and control of the assets
-Identifying, valuing, and preserving the assets
-Managing and operating the assets in order to generate revenue
-Selling or disposing of the assets
-Paying the company’s or individual’s debts and obligations
-Preparing and submitting reports to the court or other authorized party
Receivership services can be an effective way to manage and preserve the assets of a company or individual that is in financial distress. The receiver is appointed by the court or other authorized party and acts as an independent third party, which can provide a measure of objectivity and impartiality to the process.
It’s important to note that the receivership process is typically a court-supervised process and the receiver’s actions and decisions are subject to court approval. And in some jurisdictions, the receivership process may be subject to different laws and regulations.
Our Receivership and Distressed Asset Management Services include:
Our multidisciplinary lending compliance experts provide a broad range of customized distressed asset and loan portfolio management services across industries and asset classes, from a single asset to loan and collateral asset portfolios of all sizes. This includes Appointment of Receiver / Keeper / Trustee / Custodian / Liquidator Services, as well as 24/7/365 Interim/Crisis Management, Replevin/Asset Recovery and Disposition, ASA/MAI/RICS appraisals, customer service, sending monthly payment statements, and collecting monthly payments, maintaining records of payments and balances, collecting and paying property taxes and insurance, managing escrowed funds, administering operating expense accounts, remitting funds to investors, client/investor reporting, IRS reporting, and file and records management.
Turnaround Management and Restructuring Services include:
Our Turnaround Management Systems® and Restructuring teams marshal onsite 24/7/365 throughout the world to provide the complete spectrum of crisis/interim management and turnaround services. Our teams work closely with creditors and their legal representatives to preserve, protect, manage, operate, and enhance the going-concern value of troubled businesses and/or business assets that might otherwise be lost during bankruptcies, foreclosures, and related actions while actively pursuing permanent solutions.
A Turnaround Management scenario… A borrower in financial distress raises myriad commercial loss concerns for its creditors, including increased risk of less than payment in full of its loan, increased liabilities, additional legal costs and expenses, and greater utilization of creditor resources. When a borrower shows signs of distress, it is critical for the creditor to promptly and proactively develop a thoughtful turnaround management strategic plan to mitigate issues and identify options available to strengthen the creditor’s position in the credit facility. Doing this is an essential first step for a creditor interested in maximizing its recovery and limiting its exposure.
Collateral Management Services include:
Our Collateral Management suite of services includes comprehensive transactional Due Diligence, Appraisals, Feasibility Studies, Deal Vetting, Credit Analysis and Analytics, Risk Assessments, Project Management, Collateral Reviews, Environmental Compliance Reviews, Account Monitoring, Independent Auditing, Field Inspections, Asset Tagging, UCC Filings, and Periodic Onsite Compliance Inspections.
EDS’ internationally recognized specialists work closely with the client and their legal representatives to analyze and determine its institutional and regulatory requirements. After establishing goals and objectives, our lender services compliance teams prepare comprehensive due diligence protocols, develop account and site-specific strategies, and visit the client’s location(s). We meet with borrowers and site management personnel to communicate the level of compliance its lender requires courteously and professionally, leaving no room for interpretation.
Our distinctive Distressed Asset Management, Turnaround Management, Collateral Management, and Risk-Mitigation Services reduce risk and bring our clients the safety, comfort, flexibility, and confidence to increase credit to existing customers and to seek out and book new business opportunities where others cannot.
