When appointed as a Receiver during a business dispute, Cathedral Capital can mitigate or stop fraud, mismanagement, loss, destruction or misuse of corporate or partnership property. Receivers also serve as a disinterested third-party to manage the winding-down or dissolution of an entity. We can sequester corporate property to aid in the satisfaction of a judgment.
Contracts often call for the appointment of a neutral third-party in the event of default or other breach. Cathedral Capital can step into the shoes of the breaching party to preserve the status quo until the Courts can resolve the matter.
Many different kinds of cases come from the Family Courts. Cathedral Capital can be appointed when spouses own a business together and cannot work together during the divorce proceedings. We can also be used to protect against the diversion or concealment of assets meant to be used for the payment of child support or that are part of the marital estate.
Because of the extraordinary powers given to a Receiver, we are able to quickly and efficiently trace money and other assets that have been fraudulently transferred. Banks, accountants and other third parties are required to turn over information to aid the Receiver’s investigation. Brooke Lively is a member of the Association of Certified Fraud Examiners and is currently studying to become a Certified Fraud Examiner. This course of study centers on the prevention, detection and deterrence of fraud.
Post Judgment Enforcement
Judgment debtors have been known to simply ignore judgments if it has no impact on their current business or lifestyle. Because a Receiver steps into the shoes of the debtor, we they have an immense amount of information available to them to aid in the collection of the judgment. It is also not a comfortable position for the debtor, so settlements or other payment arrangements can be negotiated to relieve the pressure. Sometimes, the best option is to run the business and institute regular payments from the operating revenues to satisfy the judgment. Brooke Lively has been able to quickly increase a settlement offer by up to five times the initial amount offered.
Probate and Trusts
When an estate’s administrator has been found guilty of waste, misuse of assets or mismanagement, Cathedral Capital can step in as a neutral third-party. We are also used to either manage the estate or disburse it according to the terms of the will or based on the resolution of litigation. Cathedral Capital can step in when the interests of a trustee are adverse to those of the beneficiaries.
Mortgagee’s use Receivers to preserve the equity or security of a mortgage by collecting and applying rents and profits to mortgage debts and protect against waste and impairments of the security by making repairs. Cathedral Capital can enforce lease agreements and manage condominium, cooperative, timeshare estates or homeowner’s associations when the currently governing body cannot be trusted. On the other side, the appointment of us as a Receiver will also stay any foreclosure action until the Court gives its approval to proceed with the application of the creditor to foreclose.