HB1348: HB1348 Civil practice; compensation for receivers; provide

26 LC 49 2718S The House Committee on Judiciary offers the following substitute to HB 1348: A BILL TO BE ENTITLED AN ACT To amend Chapter 8 of Title 9 of the Official Code of Georgia A nnotated, relating to1 receivers relative to civil practice, so as to provide for compensation for receivers; to provide2 for a cap on compensation; to make conforming changes; to provide for related matters; to3 repeal conflicting laws; and for other purposes.4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:5 SECTION 1.6 Chapter 8 of Title 9 of the Official Code of Georgia Annotated, relating to receivers relative7 to civil practice, is amended by revising Code Section 9-8-13, relating to award of attorneys'8 and receivers' fees and how determined, as follows:9 "9-8-13.10 (a) In all cases where a receiver is appointed under the laws of this state to take charge of11 the assets of any person, firm, or corporation and a fund is br ought into court for12 distribution, the court having jurisdiction thereof shall award to counsel filing the petition13 and representing the moving creditor or creditors, out of the fund, no greater sum as fees14 for services rendered in filing the petition and bringing the fund into court than the services15 are actually worth, taking as a basis therefor the amount represented by the counsel in the16 H. B. 1348 (SUB) - 1 - 26 LC 49 2718S original petition and the assets brought into the hands of the receiver by the services of17 counsel not including the assets turned over to the receiver by defendants under order of18 the court.19 (b)(1) In all cases where a receiver is appointed to take charge of the assets of any20 person, firm, or corporation, the court having jurisdiction the reof shall award to the21 receiver as full compensation for his or her services, out of the fund coming into his or22 her hands, not more than 8 percent of the first $1,000.00, 4 percent of the excess up to of23 the amount above $1,000.00 and not exceeding $5,000.00, 3 percent of the amount24 above $5,000.00 and not exceeding $10,000.00, and 2 percent of all sums over t h e25 amount above $10,000.00 and not exceeding $20,000.00, and 0.5 percent of all sums over26 $20,000.00.27 (2) Where the business of an insolvent person, firm, or corporati on is continued and28 conducted by a receiver, the judge may allow such compensation as may be reasonable29 for such services in lieu of commissions, not exceeding to exceed the lesser of:30 (A) Compensation compensation paid by persons in the usual and regular conduct of31 such business; or32 (B) Commissions of 8 percent of the first $1,000.00, 4 percent of the amount33 above $1,000.00 and not exceeding $5,000.00, 3 percent of the amount above $5,000.0034 and not exceeding $10,000.00, 2 percent of the amount above $10 ,000.00 and not35 exceeding $20,000.00, and 0.5 percent of all sums over $20,000.00.36 (c) In all cases, the presiding judge or other competent tribu nal shall allow such37 compensation to the attorney or attorneys filing the original petition and to the receiver or38 receivers appointed thereunder as their services are reasonably worth not to exceed the39 amounts provided for in subsection (b) of this Code section.40 (d) Notwithstanding any provision of this Code section or other law to the contrary, in no41 event shall total compensation awarded under this chapter excee d 5 percent of the total42 sums received by the receiver unless otherwise ordered by the court."43 H. B. 1348 (SUB) - 2 - 26 LC 49 2718S SECTION 2.44 All laws and parts of laws in conflict with this Act are repealed.45 H. B. 1348 (SUB) - 3 -