What Is a Receiver?

In the typical civil court case, a plaintiff sues a defendant for money. If the plaintiff wins, the court renders judgment in favor of the plaintiff and against the defendant and orders the defendant to pay the plaintiff money.

If the defendant, now judgment debtor, does not pay the judgment, the plaintiff, now judgment creditor, can ask the court to appoint a Receiver for the judgment debtor. If appointed, the Receiver’s role is to take possession of the judgment debtor’s non-exempt property and accounts, liquidate them, and pay the plaintiff, thereby satisfying the court’s judgment. Receivership is an effective tool for the court to ensure that its judgments are enforced.