Interview with David Legault,
Q -What does a Receiver
A -"A receiver steps
in between the borrower and lender to manage the asset
during a litigation process."
Q-Is this a service that
you provide, Dave?
A-"Yes, under Florida
law only bonded, experienced, court appointed individuals
can perform this function."
Q-What are your responsibilities?
A-"Limit liability for
the lender & borrower and preserve the asset."
Q-How do you mean 'limit
A-"I make sure the asset
is secure, insured and maintains a base value and does
not deteriorate further."
Q-What actions do you
A-"I basically step into
the shoes of the borrower and take over running the day-to-day
operations of the real estate and/or business. This may
include repairs, maintenance, hiring & firing personnel,
leasing and dispositions of real and/or personal property."
Q-What sort of assets
do you handle?
A-"Normally real property,
sometimes commercial enterprises and operating businesses
like golf courses and medical clinics."
Q-How many assignments
have you handled?
A-"Over 200 throughout
Q-Who appoints you?
A-"A judge based on the
lender's need to preserve the asset and limit their liability
by appointing an arm's length independent third party."
Q-Whom do you report
A-"The judge that appointed
me as receiver."
Q-Who pays you?
based on an hourly fee plus expenses. My fees are funded
from the income stream of the property or if not adequate
we have lien right against the property to insure that
we are paid."
Q-What is your background?
A-"I am a CPM (Certified
Property Manager), CCI (Certified Commercial
Inspector) with extensive background in construction,
real estate brokerage, tenant representation and mortgage brokerage."
Q-Do you do all the work
A-"No, I am more of a
expert generalist that brings together specific skills to solve
problems from a variety of experts."
Q-How long does an assignment
A-"Until the borrower
and lender resolve their legal issues or the asset is
Q-What happens after
the foreclosure sale?
A-"When the asset is
returned to the bank we advise the lender on a disposition