reglab/statecodes huggingface dataset:
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-83 - Conditions creating personal liability to liquidator for amount of preference.

58-29B-83. Conditions creating personal liability to liquidator for amount of preference.
Every officer, manager, employee, shareholder, member, subscriber, attorney, or any other person acting on behalf of the insurer who knowingly participates in giving any preference when he has reasonable cause to believe the insurer is or is about to become insolvent at the time of the preference shall be personally liable to the liquidator for the amount of the preference. Reasonable cause may be inferred if the transfer was made within four months before the date of filing of the successful petition for liquidation. Every person receiving any property from the insurer or the benefit thereof as a preference voidable under this section is personally liable therefore and shall be bound to account to the liquidator. Nothing in this section may prejudice any other claim by the liquidator.
Source:
SL 1989, ch 436, §83.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-84 - Claims of creditor who has received or acquired a voidable preference, lien, conveyance, transfer, assignment, or encumbrance.

58-29B-84. Claims of creditor who has received or acquired a voidable preference, lien, conveyance, transfer, assignment, or encumbrance.
No claims of a creditor who has received or acquired a preference, lien, conveyance, transfer, assignment, or encumbrance, voidable under this chapter, may be allowed unless he surrenders the preference, lien, conveyance, transfer, assignment, or encumbrance. If the avoidance is effected by a proceeding in which a final judgment has been entered, the claim may not be allowed unless the money is paid or the property is delivered to the liquidator within thirty days from the date of the entering of the final judgment. However, the court having jurisdiction over the liquidation may allow further time if there is an appeal or other continuation of the proceeding.
Source:
SL 1989, ch 436, §84.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-85 - Filing of claims under § 58-29B-84.

58-29B-85. Filing of claims under §58-29B-84.
A claim allowable under §58-29B-84 by reason of avoidance, whether voluntary or involuntary, or a preference, lien, conveyance, transfer, assignment, or encumbrance, may be filed as an excused late filing under §§58-29B-102 to 58-29B-105, inclusive, if filed within thirty days from the date of the avoidance, or within the further time allowed by the court under §58-29B-84.
Source:
SL 1989, ch 436, §85.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-86 - Mutual debts or credits between insurer and another set off.

58-29B-86. Mutual debts or credits between insurer and another set off.
Mutual debts or mutual credits between the insurer and another person in connection with any action or proceeding under this chapter shall be set off and the balance only shall be allowed or paid, except as provided in §58-29B-87, and §§58-29B-95 to 58-29B-97, inclusive.
Source:
SL 1989, ch 436, §86.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-87 - Setoff or counterclaim not allowed.

58-29B-87. Setoff or counterclaim not allowed.
No setoff or counterclaim may be allowed in favor of any person if:
(1)The obligation of the insurer to the person would not at the date of the filing of a petition for liquidation entitle the person to share as a claimant in the assets of the insurer; or
(2)The obligation of the insurer to the person was purchased by or transferred to the person with a view to its being used as a setoff; or
(3)The obligation of the person is to pay an assessment levied against the members or subscribers of the insurer, or is to pay a balance upon a subscription to the capital stock of the insurer, or is in any other way in the nature of a capital contribution.
Source:
SL 1989, ch 436, §87; SL 1995, ch 288, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-88 - Liquidator's report to court--Time limit--Content.

58-29B-88. Liquidator's report to court--Time limit--Content.
As soon as practicable, but not more than two years from the date of an order of liquidation under §§58-29B-41 to 58-29B-45, inclusive, of an insurer issuing assessable policies, the liquidator shall make a report to the court setting forth:
(1)The reasonable value of the assets of the insurer;
(2)The insurer's probable total liabilities;
(3)The probable aggregate amount of the assessment necessary to pay all claims of creditors and expenses in full, including expenses of administration and costs of collecting the assessment; and
(4)A recommendation as to whether or not an assessment should be made and in what amount.
Source:
SL 1989, ch 436, §88.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-89 - Court to levy assessments--Amount.

58-29B-89. Court to levy assessments--Amount.
Upon the basis of the report provided in §58-29B-88, including any supplements and amendments thereto, the court may levy one or more assessments against all members of the insurer who are subject to assessment. Subject to any applicable legal limits on assessability, the aggregate assessment shall be for the amount that the sum of the probable liabilities, the expenses of administration, and the estimated cost of collection of the assessment, exceeds the value of existing assets, with due regard being given to assessments that cannot be collected economically.
Source:
SL 1989, ch 436, §89.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-90 - Issuance of show cause order upon failure to pay assessment.

58-29B-90. Issuance of show cause order upon failure to pay assessment.
After levy of assessment under §58-29B-89, the liquidator shall issue an order directing each member who has not paid the assessment pursuant to the order to show cause why the liquidator should not pursue a judgment therefor.
Source:
SL 1989, ch 436, §90.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-91 - Notice of show cause order.

58-29B-91. Notice of show cause order.
The liquidator shall give notice of the order to show cause by legal publication in the county of the principal place of business of the insurer and by first class mail to each member liable thereunder mailed to his last known address as it appears on the insurer's records, at least twenty days before the return day of the order to show cause.
Source:
SL 1989, ch 436, §91.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-92 - Failure to appear and serve objections on or before return day of order--Procedure on timely appearance.

58-29B-92. Failure to appear and serve objections on or before return day of order--Procedure on timely appearance.
If a member does not appear and serve duly verified objections upon the liquidator on or before the return day of the order to show cause under §58-29B-90, the court shall make an order adjudging the member liable for the amount of the assessment against him, pursuant to §58-29B-89, together with costs, and the liquidator shall have a judgment against the member therefor. If on or before such return day, the member appears and serves duly verified objections upon the liquidator, the director may hear and determine the matter or may appoint a referee to hear it and make such order as the facts warrant. In the event that the director determines that such objections do not warrant relief from assessment, the member may request the court to review the matter and vacate the order to show cause.
Source:
SL 1989, ch 436, §92.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-93 - Enforcement of order or judgment under § 58-29B-92.

58-29B-93. Enforcement of order or judgment under §58-29B-92.
The liquidator may enforce any order or collect any judgment under §58-29B-92, by any lawful means.
Source:
SL 1989, ch 436, §93.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-94 - No reductions in amounts recoverable from reinsurers--Exception--Payments.

58-29B-94. No reductions in amounts recoverable from reinsurers--Exception--Payments.
The amount recoverable by the liquidator from reinsurers may not be reduced as a result of delinquency proceedings, unless the reinsurance contract provides, in substance, that in the event of the insolvency of the ceding insurer, the reinsurance is payable under a contract reinsured by the reinsurer on the basis of reported claims allowed in the liquidation proceeding or proof of payment of the claim by a guaranty association, without diminution because of the insolvency of the ceding insurer. Such payments shall be made directly to the ceding insurer or to its domiciliary liquidator unless:
(1)The contract or other written agreement specifically provides another payee of such reinsurance in the event of the insolvency of the ceding insurer; or
(2)The reinsurer, with the consent of the direct insured, has assumed such policy obligations of the ceding insurer as direct obligations of the reinsurer to the payees under such policies and in substitution for the obligations of the ceding insurer to such payees. The consent of the liquidator is required for any such assumption of policy obligations effected after an order of liquidation.
Source:
SL 1989, ch 436, §94; SL 2005, ch 274, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-94.1 - Association election to succeed to rights and obligations of insolvent insurer under reinsurance contract--Reinsurer's liability to pay claims.

58-29B-94.1. Association election to succeed to rights and obligations of insolvent insurer under reinsurance contract--Reinsurer's liability to pay claims.
Notwithstanding §58-29B-94, if a life and health insurance guaranty association has made the election to succeed to the rights and obligations of the insolvent insurer under the contract of reinsurance, the reinsurer's liability to pay covered reinsured claims continues under the contract of reinsurance, subject to the payment to the reinsurer of the reinsurance premiums for such coverage. Payment for such reinsured claims may only be made by the reinsurer pursuant to the direction of the guaranty association or its designated successor. Any payment made at the direction of the guaranty association or its designated successor by the reinsurer discharges the reinsurer of any further liability to any other party for the claim payment.
Source:
SL 2005, ch 274, §2.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-95 - No liability for unearned premiums or uncollected earned premiums before declaration of insolvency--Recovery of unearned premium representing commission--Credits or setoffs--Obligations of uninsured.

58-29B-95. No liability for unearned premiums or uncollected earned premiums before declaration of insolvency--Recovery of unearned premium representing commission--Credits or setoffs--Obligations of uninsured.
No insurance producer, premium finance company, or any other person, responsible for the payment of a premium at the time of the declaration of insolvency, may be held liable for payment of collected or uncollected unearned premiums or for uncollected earned premiums as shown on the records of the insurer. The liquidator has the right to recover from the person any part of an unearned premium that represents commission of the person. Credits or setoffs or both may not be allowed to an insurance producer, or premium finance company for any amounts advanced to the insurer by the insurance producer or premium finance company on behalf of, but in the absence of a payment by, the insured. An insured is obligated to pay any unpaid earned premium due the insurer at the time of the declaration of insolvency, as shown on the records of the insurer.
Source:
SL 1989, ch 436, §95; SL 1990, ch 403; SL 1995, ch 288, §2; SL 2001, ch 286, §147.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-96 - Course of action upon violation of § 58-29B-95--Director's options.

58-29B-96. Course of action upon violation of §58-29B-95--Director's options.
Upon satisfactory evidence of a violation of §58-29B-95, the director may pursue either one or both of the following courses of action; suspend, revoke, or refuse to renew the licenses of such offending party or parties or impose a penalty of not more than one thousand dollars for each and every act in violation of §58-29B-95, by the party or parties.
Source:
SL 1989, ch 436, §96.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-97 - Notice and hearings required before impositions of penalties.

58-29B-97. Notice and hearings required before impositions of penalties.
Before the director shall take any action as set forth in §58-29B-96, he shall give written notice to the person, company, association, or exchange accused of violating the law, stating specifically the nature of the alleged violation, and fixing a time and place, at least ten days thereafter, when a hearing on the matter shall be held. After such hearing, or upon failure of the accused to appear at such hearing, the director, if he shall find such violation, shall impose such of the penalties under §58-29B-96, as he deems advisable. If the director shall take action in any or all of the ways set out in §58-29B-96, the party aggrieved may appeal as provided by chapter 1-26.
Source:
SL 1989, ch 436, §97.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-98 - Application for approval of proposal to disburse assets.

58-29B-98. Application for approval of proposal to disburse assets.
Within one hundred twenty days of a final determination of insolvency of an insurer by the court, the liquidator shall make application to the court for approval of a proposal to disburse assets out of marshaled assets, from time to time as such assets become available, to a guaranty association or foreign guaranty association having obligations because of such insolvency. If the liquidator determines that there are insufficient assets to disburse, the application required by this section shall be considered satisfied by a filing by the liquidator stating the reasons for this determination.
Source:
SL 1989, ch 436, §98.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-99 - Proposal to disburse assets--Contents.

58-29B-99. Proposal to disburse assets--Contents.
The proposal under §58-29B-98 shall include, but is not limited to, provisions for:
(1)Reserving amounts for the payment of expenses of administration and the payment of claims of secured creditors to the extent of the value of the security held, and claims falling within the priorities established in subdivisions 58-29B-124(1) and (2);
(2)Disbursement of the assets marshaled to date and subsequent disbursement of assets as they become available;
(3)Equitable allocation of disbursements to each of the guaranty associations and foreign guaranty associations entitled thereto;
(4)The securing by the liquidator from each of the associations entitled to disbursements pursuant to this section of an agreement to return to the liquidator such assets, together with income earned on assets previously disbursed, as may be required to pay claims of secured creditors and claims falling within the priorities established in §58-29B-124, in accordance with such priorities. No bond is required of any such association; and
(5)A full report to be made by each association to the liquidator accounting for all assets so disbursed to the association, all disbursements made therefrom, any interest earned by the association on such assets and any other matter as the court may direct.
Source:
SL 1989, ch 436, §99.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-100 - Amounts for disbursements to associations.

58-29B-100. Amounts for disbursements to associations.
The liquidator's proposal shall provide for disbursements to the associations in amounts estimated at least equal to the claim payments made or to be made thereby for which such associations could assert a claim against the liquidator, and shall further provide that if the assets available for disbursement from time to time do not equal or exceed the amount of such claim payments made, or to be made, by the association then disbursements shall be in the amount of available assets.
Source:
SL 1989, ch 436, §100.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-101 - Insolvent insurer writing life or health insurance or annuities--Liquidator to include disbursements to guaranty in proposal.

58-29B-101. Insolvent insurer writing life or health insurance or annuities--Liquidator to include disbursements to guaranty in proposal.
The liquidator's proposal shall, with respect to an insolvent insurer writing life or health insurance or annuities, provide for disbursements of assets to any guaranty association or any foreign guaranty association covering life or health insurance or annuities or to any other entity or organization reinsuring, assuming, or guaranteeing policies or contracts of insurance under the acts creating such associations.
Source:
SL 1989, ch 436, §101.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-102 - Notice of application for approval of proposal.

58-29B-102. Notice of application for approval of proposal.
Notice of the application under §58-29B-98 shall be given to the association and to the directors of insurance of each of the states. Any such notice shall be deemed to have been given when deposited in the United States' mail, with first class postage prepaid thereon, at least thirty days prior to submission of such application to the court. Action on the application may be taken by the court provided the required notice has been given and the liquidator's proposal complies with subdivisions 58-29B-99(1) and (2).
Source:
SL 1989, ch 436, §102.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-103 - Filing proof of claims--Exceptions.

58-29B-103. Filing proof of claims--Exceptions.
Proof of all claims shall be filed with the liquidator in the form required by §§58-29B-106 to 58-29B-110, inclusive, on or before the last day for filing specified in the notice required under §§58-29B-51 and 58-29B-52, except that proof of claims for cash surrender values or other investment values in life insurance and annuities need not be filed unless the liquidator expressly so requires.
Source:
SL 1989, ch 436, §103.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-104 - Circumstances under which claimant making late filing may share in distributions.

58-29B-104. Circumstances under which claimant making late filing may share in distributions.
The liquidator may permit a claimant making a late filing to share in distributions, whether past or future, as if he were not late, to the extent that any such payment will not prejudice the orderly administration of the liquidation, under the following circumstances:
(1)The existence of the claim was not known to the claimant and that he filed his claim as promptly thereafter as reasonably possible after learning of it;
(2)A transfer to a creditor was avoided under §§58-29B-61 to 58-29B-83, inclusive, or was voluntarily surrendered under §§58-29B-84 and 58-29B-85, and that the filing satisfies the conditions of §§58-29B-84 and 58-29B-85; or
(3)The valuation under §§58-29B-121 and 58-29B-122, of security held by a secured creditor shows a deficiency, which is filed within thirty days after the valuation.
Source:
SL 1989, ch 436, §104; SL 2021, ch 210, § 18.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-105 - Certain late filing claims of guaranty association--Right to share in distributions.

58-29B-105. Certain late filing claims of guaranty association--Right to share in distributions.
The liquidator shall permit late filing claims to share in distributions, whether past or future, as if they were not late, if such claims are claims of a guaranty association or foreign guaranty association for reimbursement of covered claims paid or expenses incurred, or both, subsequent to the last day for filing where such payments were made and expenses incurred as provided by law.
Source:
SL 1989, ch 436, §105.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-106 - Treatment of late claims not covered by § 58-29B-104.

58-29B-106. Treatment of late claims not covered by §58-29B-104.
The liquidator may consider any claim filed late which is not covered by §58-29B-104, and permit it to receive distributions which are subsequently declared on any claims of the same or lower priority if the payment does not prejudice the orderly administration of the liquidation. The late filing claimant shall receive, at each distribution, the same percentage of the amount allowed on his claim as is then being paid to claimants of any lower priority. This shall continue until his claim has been paid in full.
Source:
SL 1989, ch 436, §106.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-107 - Proof of claim--Contents.

58-29B-107. Proof of claim--Contents.
Proof of claim shall consist of a verified statement signed by the claimant that includes all of the following that are applicable:
(1)The particulars of the claim including the consideration given for it;
(2)The identity and amount of the security on the claim;
(3)The payments made on the debt, if any;
(4)That the sum claimed is justly owing and that there is no setoff, counterclaim, or defense to the claim;
(5)Any right of priority of payment or other specific right asserted by the claimants;
(6)A copy of the written instrument which is the foundation of the claim;
(7)The name and address of the claimant and the attorney who represents him, if any.
Source:
SL 1989, ch 436, §107.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-108 - Failure to provide necessary information--Liquidator may require prescribed forms and additional information.

58-29B-108. Failure to provide necessary information--Liquidator may require prescribed forms and additional information.
The liquidator need not consider or allow a claim if it does not contain all the information in §58-29B-107, which may be applicable. The liquidator may require that a prescribed form be used and may require that other information and documents be included.
Source:
SL 1989, ch 436, §108.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-109 - Liquidator may request or otherwise obtain additional information or evidence.

58-29B-109. Liquidator may request or otherwise obtain additional information or evidence.
At any time the liquidator may request the claimant to present information or evidence supplementary to that required under §58-29B-107, and may take testimony under oath, require production of affidavits or depositions, or otherwise obtain additional information or evidence.
Source:
SL 1989, ch 436, §109.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-110 - Judgment or order not evidence of liability or quantum of damages.

58-29B-110. Judgment or order not evidence of liability or quantum of damages.
No judgment or order against an insured or the insurer entered after the date of filing of a successful petition for liquidation and no judgment or order against an insured or the insurer entered at any time by default or by collusion need be considered as evidence of liability or of quantum of damages. No judgment or order against an insured or the insurer entered within four months before the filing of the petition need be considered as evidence of liability or of the quantum of damages.
Source:
SL 1989, ch 436, §110.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-111 - Claims of guaranty associations--Form and content.

58-29B-111. Claims of guaranty associations--Form and content.
All claims of a guaranty association or foreign guaranty association shall be in such form and contain such substantiation as may be agreed to by the association and the liquidator.
Source:
SL 1989, ch 436, §111.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-112 - Third party's claim contingent on judgment against insured--Consideration.

58-29B-112. Third party's claim contingent on judgment against insured--Consideration.
The claim of a third party which is contingent only on his first obtaining a judgment against the insured shall be considered and allowed as if there were no such contingency.
Source:
SL 1989, ch 436, §112.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-113 - Contingent claims allowed.

58-29B-113. Contingent claims allowed.
A claim may be allowed even if contingent, if it is filed in accordance with §§58-29B-103 to 58-29B-106, inclusive. It may be allowed and may participate in all distributions declared after it is filed to the extent that it does not prejudice the orderly administration of the liquidation.
Source:
SL 1989, ch 436, §113.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-114 - Treatment of claims due except for passage of time.

58-29B-114. Treatment of claims due except for passage of time.
Claims that are due except for the passage of time shall be treated as settled claims are treated. However, such claims may be discounted at the rate specified in §58-15-15.8 minus two percent.
Source:
SL 1989, ch 436, §114.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-115 - Claims made under employment contracts by directors or similar personnel--Limit on payment.

58-29B-115. Claims made under employment contracts by directors or similar personnel--Limit on payment.
Claims made under employment contracts by directors, principal officers, or persons in fact performing similar functions or having similar powers are limited to payment for services rendered prior to the issuance of any order of rehabilitation or liquidation under §58-29B-32 or 58-29B-42.
Source:
SL 1989, ch 436, §115.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-116 - Third party claim against insured of insurer in liquidation filed with liquidator--Insured's filing--Late filing.

58-29B-116. Third party claim against insured of insurer in liquidation filed with liquidator--Insured's filing--Late filing.
If any third party asserts a cause of action against an insured of an insurer in liquidation, the third party may file a claim with the liquidator. Whether or not the third party files a claim, the insured may file a claim on his own behalf in the liquidation. If the insured fails to file a claim by the date for filing claims specified in the order of liquidation or within sixty days after mailing of the notice required by §§58-29B-51 and 58-29B-52, whichever is later, he is an unexcused late filer.
Source:
SL 1989, ch 436, §116.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-117 - Allowance of insured's claim--Liquidator's recommendations to court--Sums withheld--Procedures upon allowance.

58-29B-117. Allowance of insured's claim--Liquidator's recommendations to court--Sums withheld--Procedures upon allowance.
The liquidator shall make his recommendations to the court under §58-29B-125, for the allowance of an insured's claim under §58-29B-116, after consideration of the probable outcome of any pending action against the insured on which the claim is based, the probable damages recoverable in the action and the probable costs and expenses of defense. After allowance by the court, the liquidator shall withhold any dividends payable on the claim, pending the outcome of litigation and negotiation with the insured. Upon request by the claimant the liquidator may reconsider the claim on the basis of additional information and amend his recommendations to the court. The court may amend its allowance as it considers appropriate. As claims against the insured are settled or barred, the insured shall be paid from the amount withheld the same percentage dividend as was paid on other claims of like property, based on the lesser of the amount actually recovered from the insured by action or paid by agreement plus the reasonable costs and expenses of defense or the amount allowed on the claims by the court. After all claims are settled or barred, any sum remaining from the amount withheld shall revert to the undistributed assets of the insurer. Delay in final payment under this section shall not be a reason for unreasonable delay of final distribution and discharge of the liquidator.
Source:
SL 1989, ch 436, §117.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-118 - Several claims founded upon one policy--Disposition--Prohibited claims.

58-29B-118. Several claims founded upon one policy--Disposition--Prohibited claims.
If several claims founded upon one policy are filed, whether by third parties or as claims by the insured under §58-29B-116 or 58-29B-128, and the aggregate allowed amount of the claims to which the same limit of liability in the policy is applicable exceeds that limit, each claim as allowed shall be reduced in the same proportion so that the total equals the policy limit. Claims by the insured shall be evaluated as in §58-29B-117. If any insured's claim is subsequently reduced under §58-29B-117, the amount thus freed shall be apportioned ratably among the claims which have been reduced under this section. No claim may be presented under §58-29B-116 or this section, if it is or may be covered by any guaranty association or foreign guaranty association.
Source:
SL 1989, ch 436, §118.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-119 - Liquidator to give written notice of denial of claim--Objections.

58-29B-119. Liquidator to give written notice of denial of claim--Objections.
If a claim is denied in whole or in part by the liquidator, written notice of the determination shall be given to the claimant or his attorney by first class mail at the address shown in the proof of claim. Within sixty days from the mailing of the notice, the claimant may file his objections with the liquidator. If no such filing is made, the claimant may not further object to the determination.
Source:
SL 1989, ch 436, §119.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-120 - Hearing upon objections--Notice--Referee may conduct.

58-29B-120. Hearing upon objections--Notice--Referee may conduct.
If objections are filed with the liquidator and the liquidator does not alter his denial of the claim as a result of the objections, the liquidator shall ask the court for a hearing as soon as practicable and give notice of the hearing by first class mail to the claimant or his attorney and to any other persons directly affected, not less than ten nor more than thirty days before the date of the hearing. The matter may be heard by the court or by a court-appointed referee who shall submit findings of fact along with his recommendation.
Source:
SL 1989, ch 436, §120.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-121 - Creditor's claim secured by "other person"--Subrogation--Right to distribution.

58-29B-121. Creditor's claim secured by "other person"--Subrogation--Right to distribution.
If a creditor whose claim against an insurer is secured, in whole or in part, by the undertaking of another person, fails to prove and file that claim, the other person may do so in the creditor's name, and shall be subrogated to the rights of the creditor, whether the claim has been filed by the creditor or by the other person in the creditor's name, to the extent that he discharges the undertaking. In the absence of an agreement with the creditor to the contrary, the other person is not entitled to any distribution paid on the claim from the insurer's estate to the creditor if the claim of the other person equals the amount of the entire claim of the creditor. Any excess received by the creditor shall be held by him in trust for such other person. The term "other person," as used in this section is not intended to apply to a guaranty association or foreign guaranty association.
Source:
SL 1989, ch 436, §121.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-122 - Valuation of security held by secured creditor.

58-29B-122. Valuation of security held by secured creditor.
The value of any security held by a secured creditor shall be determined in one of the following ways, as the court may direct:
(1)By converting the same into money according to the terms of the agreement pursuant to which the security was delivered to such creditors; or
(2)By agreement, arbitration, compromise, or litigation between the creditor and the liquidator.
Source:
SL 1989, ch 436, §122.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-123 - Valuation made under supervision of court--Treatment of deficiency and surrender of security.

58-29B-123. Valuation made under supervision of court--Treatment of deficiency and surrender of security.
The determination made pursuant to §58-29B-122 shall be under the supervision and control of the court with due regard for the recommendation of the liquidator. The amount so determined shall be credited upon the secured claim, and any deficiency shall be treated as an unsecured claim. If the claimant shall surrender his security to the liquidator, the entire claim shall be allowed as if unsecured.
Source:
SL 1989, ch 436, §123.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-125 - Review, investigation and negotiation of claims by liquidator--Exception--Report to court.

58-29B-125. Review, investigation and negotiation of claims by liquidator--Exception--Report to court.
The liquidator shall review all claims duly filed in the liquidation and shall make such further investigation as he shall deem necessary. He may compound, compromise, or in any other manner negotiate the amount for which claims will be recommended to the court except where the liquidator is required by law to accept claims as settled by any person or organization, including any guaranty association or foreign guaranty association. Unresolved disputes shall be determined under §58-29B-119 or 58-29B-120. As soon as practicable, he shall present to the court a report of the claims against the insurer with his recommendations. The report shall include the name and address of each claimant and the amount of the claim finally recommended, if any. If the insurer has issued annuities or life insurance policies, the liquidator shall report the persons to whom, according to the records of the insurer, amounts are owed as cash surrender values or other investment value and the amounts owed.
Source:
SL 1989, ch 436, §125.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-126 - Court approval, disapproval, or modification of report.

58-29B-126. Court approval, disapproval, or modification of report.
The court may approve, disapprove, or modify, the report on claims by the liquidator. Such reports as are not modified by the court within a period of sixty days following submission by the liquidator shall be treated by the liquidator as allowed claims, subject thereafter to later modification or to rulings made by the court pursuant to §§58-29B-119 and 58-29B-120. No claim under a policy of insurance may be allowed for an amount in excess of the applicable policy limits.
Source:
SL 1989, ch 436, §126.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-127 - Distributions by liquidator under court direction--Manner of payment.

58-29B-127. Distributions by liquidator under court direction--Manner of payment.
Under the direction of the court, the liquidator shall pay distributions in a manner that will assure the proper recognition of priorities and a reasonable balance between the expeditious completion of the liquidation and the protection of unliquidated and undetermined claims, including third party claims. Distribution of assets in kind may be made at valuations set by agreement between the liquidator and creditor and approved by the court.
Source:
SL 1989, ch 436, §127.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-128 - Disposition of unclaimed funds subject to distribution.

58-29B-128. Disposition of unclaimed funds subject to distribution.
All unclaimed funds subject to distribution remaining in the liquidator's hands when he is ready to apply to the court for discharge, including the amount distributable to any creditor, shareholder, member, or other person who is unknown or cannot be found, shall be deposited with the state treasurer, and shall be paid without interest except in accordance with §58-29B-123 to the person entitled thereto or his legal representative upon proof satisfactory to the state treasurer of his right thereto. Any amount on deposit not claimed within six years from the discharge of the liquidator shall be deemed to have been abandoned and shall be escheated without formal escheat proceedings and be deposited into the general fund.
Source:
SL 1989, ch 436, §128.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-129 - Disposition of funds not distributed.

58-29B-129. Disposition of funds not distributed.
All funds withheld under §§58-29B-112 to 58-29B-114, inclusive, and not distributed shall upon discharge of the liquidator be deposited with the state treasurer and paid by him in accordance with §58-29B-123. Any sums remaining which under §58-29B-123 would revert to the undistributed assets of the insurer shall be transferred to the state treasurer and become the property of the state under §58-29B-128, unless the director in his discretion petitions the court to reopen the liquidation under §58-29B-131.
Source:
SL 1989, ch 436, §129.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-130 - Application for discharge.

58-29B-130. Application for discharge.
If all assets justifying the expense of collection and distribution have been collected and distributed under this chapter, the liquidator shall apply to the court for discharge. The court may grant the discharge and make any other orders, including an order to transfer to the state treasurer any remaining funds that are uneconomic to distribute, as may be deemed appropriate. Any other person may apply to the court at any time for an order under this section. If the application is denied, the applicant shall pay the costs and expenses of the liquidator in resisting the application, including a reasonable attorney's fee.
Source:
SL 1989, ch 436, §130.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-131 - Petition to reopen proceedings for good cause.

58-29B-131. Petition to reopen proceedings for good cause.
After the liquidation proceeding has been terminated and liquidator discharged, the director or other interested party may at any time petition the court to reopen the proceedings for good cause, including the discovery of additional assets. If the court is satisfied that there is justification for reopening, it shall so order.
Source:
SL 1989, ch 436, §131.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-132 - Recommendation and direction for retention or disposal of insurer's records.

58-29B-132. Recommendation and direction for retention or disposal of insurer's records.
If it appears to the director that the records of any insurer in process of liquidation or completely liquidated are no longer useful, he may recommend to the court and the court shall direct what records should be retained for future reference and what should be destroyed.
Source:
SL 1989, ch 436, §132.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-133 - Audits of receivership books.

58-29B-133. Audits of receivership books.
The court may, as it considers desirable, cause audits to be made of the books of the director relating to any receivership established under this chapter, and a report of each audit shall be filed with the director and with the court. The books, records, and other documents of the receivership shall be made available to the auditor at any time without notice. The expense of each audit shall be considered a cost of administration of the receivership.
Source:
SL 1989, ch 436, §133.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-134 - Director's application to act as conservator--Grounds.

58-29B-134. Director's application to act as conservator--Grounds.
If a domiciliary liquidator has not been appointed, the director may apply to the court by verified petition for an order directing him to act as conservator to conserve the property of an alien insurer not domiciled in this state or a foreign or alien insurer on any one or more of the following grounds:
(1)Any of the grounds in §58-29B-31;
(2)That any of its property has been sequestered by official action in its domiciliary state, or in any other state;
(3)That enough of its property has been sequestered in a foreign country to give reasonable cause to fear that the insurer is or may become insolvent;
(4)That its certificate of authority to do business in this state has been revoked or that none was ever issued and that there are residents of this state with outstanding claims or outstanding policies.
Source:
SL 1989, ch 436, §134.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-135 - Issuance of order allowing director to act as conservator--Filing--Notice imparted.

58-29B-135. Issuance of order allowing director to act as conservator--Filing--Notice imparted.
The court may issue the order in whatever terms it deems appropriate. The filing or recording of the order with the clerk of the circuit court of Hughes County or the register of deeds of the county in which the principal business of the company is located or the county in which its principal office or place of business is located, shall impart the same notice as a deed, bill of sale, or other evidence of title duly filed or recorded with that register of deeds would have imparted.
Source:
SL 1989, ch 436, §135.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-136 - Petition to liquidate assets of foreign or alien insurer.

58-29B-136. Petition to liquidate assets of foreign or alien insurer.
The conservator may at any time petition the court for an order under §§58-29B-138 to 58-29B-143, inclusive, to liquidate assets of a foreign or alien insurer under conservation, or, if appropriate, for an order under §§58-29B-145 to 58-29B-150, inclusive, to be appointed ancillary receiver.
Source:
SL 1989, ch 436, §136.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-137 - Termination of conservation of insurer.

58-29B-137. Termination of conservation of insurer.
The conservator may at any time petition the court for an order terminating conservation of an insurer. If the court finds that the conservation is no longer necessary, it shall order that the insurer be restored to possession of its property and the control of its business. The court may also make such finding and issue such order at any time upon motion of any interested party, but if such motion is denied all costs shall be assessed against such party.
Source:
SL 1989, ch 436, §137.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-138 - Director's application to liquidate assets of foreign or alien insurer--Grounds.

58-29B-138. Director's application to liquidate assets of foreign or alien insurer--Grounds.
If a domiciliary receiver has not been appointed, the director may apply to the circuit court of Hughes County by verified petition for an order directing him to liquidate the assets found in this state of a foreign insurer or an alien insurer or an alien insurer not domiciled in this state, on any of the following grounds:
(1)Any of the grounds in §58-29B-31 or 58-29B-41; or
(2)Any of the grounds specified in subdivisions 58-29B-134(2) to (4), inclusive.
Source:
SL 1989, ch 436, §138.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 29B - Insurers Supervision, Rehabilitation And Liquidation › Section 58-29B-139 - Notice of orders sought under § 58-29B-134 or 58-29B-138.

58-29B-139. Notice of orders sought under §58-29B-134 or 58-29B-138.
If an order is sought under §58-29B-134 or 58-29B-138, the court shall cause the insurer to be given such notice and time to respond thereto as is reasonable under the circumstances.
Source:
SL 1989, ch 436, §139.