Minority Oppression – Appointment of A Custodial Receiver
Posted in Business & Commercial Law
In previous blog entries, I focused on the causes and final remedies available in minority oppression cases. This posting focuses on what happens during the pendency of the litigation if the parties cannot run the subject company. Depending on the circumstances, the Court possesses the inherit power to appoint a custodial receiver to manage the subject corporation’s affairs during the pendency of the minority oppression claim. See, N.J.S.A. 14A:12-7(4). A custodial receiver is generally charged with protecting and preserving the corporation itself while the case is pending. Continue reading