KRS 271B.14-320: Receivership or custodianship.

(1) A court in a judicial proceeding brought to dissolve a corporation may appoint one

(1) or more receivers to wind up and liquidate, or one (1) or more custodians to

manage, the business and affairs of the corporation. The court shall hold a hearing,

after notifying all parties to the proceeding and any interested persons designated by

the court, before appointing a receiver or custodian. The court appointing a receiver

or custodian shall have exclusive jurisdiction over the corporation and all of its

property wherever located.

(2) The court may appoint an individual or a domestic or foreign corporation

(authorized to transact business in this state) as a receiver or custodian. The court

may require the receiver or custodian to post bond, with or without suret ies, in an

amount the court directs.

(3) The court shall describe the powers and duties of the receiver or custodian in its

appointing order, which may be amended from time to time. Among other powers:

(a) The receiver:

1. May dispose of all or any part of the assets of the corporation wherever

located, at a public or private sale, if authorized by the court; and

2. May sue and defend in his own name as receiver of the corporation in all

courts of this state; and

(b) The custodian may exercise all of the po wers of the corporation, through or in

place of its board of directors or officers, to the extent necessary to manage

the affairs of the corporation in the best interests of its shareholders and

creditors.

(4) The court during a receivership may redesignate the receiver a custodian, and during

a custodianship may redesignate the custodian a receiver, if doing so is in the best

interests of the corporation, its shareholders, and creditors.

(5) The court from time to time during the receivership or custodians hip may order

compensation paid and expense disbursements or reimbursements made to the

receiver or custodian and his counsel from the assets of the corporation or proceeds

from the sale of assets.