reglab/statecodes huggingface dataset:
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 37 - EQUAL ACCESS TO JUSTICE (§§ 29-37-101 — 29-37-106) › Section 29-37-105 - Exceptions

This chapter shall not apply to:
(1)
Proceedings or actions involving the employment, discipline, or discharge of wages, hours and working conditions of employees;
(2)
Proceedings or actions wherein the state or local government, through any of its departments, institutions or agencies is exercising its power of condemnation or eminent domain;
(3)
Proceedings or actions involving the payment or collection of revenue if the court determines that:
(A)
The small business taxpayer has not exhausted the administrative remedies available to taxpayers to resolve disputed tax matters; or
(B)
The small business taxpayer has acted in bad faith with regard to attempts to ascertain tax liability or to collect a tax;
(4)
Any action taken by the department of revenue pursuant to title 67, chapter 1, part 15;
(5)
Actions taken during the time of a civil emergency; or
(6)
The proceedings or actions required by a state or federal law or federal regulation.
Acts 1984, ch. 495, § 5; 1989, ch. 365, §§ 7-12.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 37 - EQUAL ACCESS TO JUSTICE (§§ 29-37-101 — 29-37-106) › Section 29-37-106 - Bad faith or frivolous claims

If the court finds that the small business' claim for fees and other expenses under this chapter was made in bad faith or was frivolous or was made for the sole basis of harassment, the court may impose a fine on the small business of not more than two thousand dollars ($2,000) which will go to the state agency or local government involved in the action.
Acts 1984, ch. 495, § 6; 1989, ch. 365, § 13.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 38 - DRUG DEALER LIABILITY ACT (§§ 29-38-101 — 29-38-116) › Section 29-38-101 - Short title

This chapter shall be known and may be cited as the "Drug Dealer Liability Act."
Acts 2005, ch. 377, § 1.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 38 - DRUG DEALER LIABILITY ACT (§§ 29-38-101 — 29-38-116) › Section 29-38-102 - Purpose

The purpose of this chapter is to provide a civil remedy for damages to persons in a community injured as a result of illegal drug use. These persons include parents, employers, insurers, governmental entities, and others who pay for drug treatment or employee assistance programs, as well as infants injured as a result of exposure to drugs in utero, referred to in this chapter as "drug babies." The chapter will enable injured persons to recover damages from those persons in the community who have joined the illegal drug market. A further purpose of the chapter is to shift, to the extent possible, the cost of the damage caused by the existence of the illegal drug market in a community to those who illegally profit from that market. The further purpose of the chapter is to establish the prospect of substantial monetary loss as a deterrent to those who have not yet entered into the illegal drug distribution market. The further purpose is to establish an incentive for drug users to identify and seek payment for their own drug treatment from those dealers who have sold drugs to the user in the past.
Acts 2005, ch. 377, § 2.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 38 - DRUG DEALER LIABILITY ACT (§§ 29-38-101 — 29-38-116) › Section 29-38-105 - Liability for participation in the illegal drug market - Exception for law enforcement in official investigations

(a)
A person who knowingly participates in the illegal drug market within this state is liable for civil damages as provided in this chapter. A person may recover damages under this chapter for injury resulting from an individual's use of an illegal drug.
(b)
A law enforcement officer or agency, the state, or a person acting at the direction of a law enforcement officer or agency or the state, is not liable for participating in the illegal drug market, if the participation is in furtherance of an official investigation.
Acts 2005, ch. 377, § 5.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 38 - DRUG DEALER LIABILITY ACT (§§ 29-38-101 — 29-38-116) › Section 29-38-106 - Persons allowed to bring an action for damages - Persons against whom damages may be sought - What damages may be sought

(a)
One (1) or more of the following persons may bring an action for damages caused by an individual's use of an illegal drug:
(1)
A parent, legal guardian, child, spouse, or sibling of the individual drug user;
(2)
An individual who was exposed to an illegal drug in utero;
(3)
An employer of the individual drug user;
(4)
A medical facility, insurer, governmental entity, employer, or other entity that funds a drug treatment program or employee assistance program for the individual drug user, or that otherwise expended money on behalf of the individual drug user; or
(5)
A person injured as a result of the willful, reckless, or negligent actions of an individual drug user.
(b)
A person entitled to bring an action under this section may seek damages from one (1) or more of the following:
(1)
A person who knowingly distributed, or knowingly participated in the chain of distribution of, an illegal drug that was actually used by the individual drug user;
(2)
A person who knowingly participated in the illegal drug market, if:
(A)
The place of illegal drug activity by the individual drug user is within the illegal drug market target community of the defendant;
(B)
The defendant's participation in the illegal drug market was connected with the same type of illegal drug used by the individual drug user; and
(C)
The defendant participated in the illegal drug market at any time during the individual drug user's period of illegal drug use.
(c)
A person entitled to bring an action under this section may recover all of the following damages:
(1)
Economic damages, including, but not limited to, the cost of treatment and rehabilitation, medical expenses, loss of economic or educational potential, loss of productivity, absenteeism, support expenses, accidents or injury, and any other pecuniary loss proximately caused by the illegal drug use;
(2)
Noneconomic damages, including, but not limited to, physical and emotional pain, suffering, physical impairment, emotional distress, mental anguish, disfigurement, loss of enjoyment, loss of companionship, services and consortium, and other nonpecuniary losses proximately caused by an individual's use of an illegal drug;
(3)
Exemplary damages;
(4)
Reasonable attorney fees; and
(5)
Costs of suit, including, but not limited to, reasonable expenses for expert testimony.
Acts 2005, ch. 377, § 6.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 38 - DRUG DEALER LIABILITY ACT (§§ 29-38-101 — 29-38-116) › Section 29-38-107 - Actions by individual drug users - Actions against distributors - What damages may be sought

(a)
An individual drug user shall not bring an action for damages caused by the use of an illegal drug, except as otherwise provided in this subsection (a). An individual drug user may bring an action for damages caused by the use of an illegal drug only if all of the following conditions are met:
(1)
The individual personally discloses to narcotics enforcement authorities, more than six (6) months before filing the action, all of the information known to the individual regarding all that individual's sources of illegal drugs;
(2)
The individual has not used an illegal drug within the six (6) months prior to filing the action; and
(3)
The individual continues to remain free of the use of an illegal drug throughout the pendency of the action.
(b)
A person entitled to bring an action under this section may seek damages only from a person who distributed, or is in the chain of distribution of, an illegal drug that was actually used by the individual drug user.
(c)
A person entitled to bring an action under this section may recover only the following damages:
(1)
Economic damages, including, but not limited to, the cost of treatment, rehabilitation, and medical expenses, loss of economic or educational potential, loss of productivity, absenteeism, accidents or injury, and any other pecuniary loss proximately caused by the person's illegal drug use;
(2)
Reasonable attorney fees; and
(3)
Costs of suit, including, but not limited to, reasonable expenses for expert testimony.
Acts 2005, ch. 377, § 7.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 38 - DRUG DEALER LIABILITY ACT (§§ 29-38-101 — 29-38-116) › Section 29-38-108 - Third-party payment on behalf of an insured prohibited

A third party shall not pay damages awarded under this chapter, or provide a defense or money for a defense, on behalf of an insured under a contract of insurance or indemnification.
Acts 2005, ch. 377, § 8.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 38 - DRUG DEALER LIABILITY ACT (§§ 29-38-101 — 29-38-116) › Section 29-38-109 - Target communities for different offense levels

A person whose participation in the illegal drug market constitutes the following level offense shall be considered to have the following illegal drug market target community:
(1)
For a Level 1 offense, the state house of representatives legislative district in which the defendant's place of participation is situated;
(2)
For a Level 2 offense, the target community described in subdivision (1), plus all state house of representatives legislative districts with a border contiguous to that target community;
(3)
For a Level 3 offense, the target community described in subdivision (2), plus all state house of representatives legislative districts with a border contiguous to that target community; and
(4)
For a Level 4 offense, the state.
Acts 2005, ch. 377, § 9.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 38 - DRUG DEALER LIABILITY ACT (§§ 29-38-101 — 29-38-116) › Section 29-38-110 - Joinder

(a)
Two (2) or more persons may join in one (1) action under this chapter as plaintiffs, if their respective actions have at least one (1) place of illegal drug activity in common, and if any portion of the period of illegal drug use overlaps with the period of illegal drug use for every other plaintiff.
(b)
Two (2) or more persons may be joined in one (1) action under this chapter as defendants, if those persons are liable to at least one (1) plaintiff.
(c)
A plaintiff need not be interested in obtaining, and a defendant need not be interested in defending against, all the relief demanded. Judgment may be given for one (1) or more plaintiffs, according to their respective rights to relief, and against one (1) or more defendants, according to their respective liabilities.
Acts 2005, ch. 377, § 10.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 38 - DRUG DEALER LIABILITY ACT (§§ 29-38-101 — 29-38-116) › Section 29-38-111 - Comparative fault

(a)
An action by an individual drug user is governed by the principles of comparative fault. Comparative fault attributed to the plaintiff does not bar recovery, but diminishes the award of compensatory damages proportionally, according to the measure of fault attributed to the plaintiff.
(b)
The burden of proving the comparative fault of the plaintiff is on the defendant, which shall be shown by clear and convincing evidence.
(c)
Comparative fault shall not be attributed to a plaintiff that is not an individual drug user.
Acts 2005, ch. 377, § 11.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 38 - DRUG DEALER LIABILITY ACT (§§ 29-38-101 — 29-38-116) › Section 29-38-112 - Right of action for contribution

A person subject to liability under this chapter has a right of action for contribution against another person subject to liability under this chapter. Contribution may be enforced either in the original action, or by a separate action brought for that purpose. A plaintiff may seek recovery in accordance with this chapter and existing law against a person whom a defendant has asserted a right of contribution.
Acts 2005, ch. 377, § 12.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 38 - DRUG DEALER LIABILITY ACT (§§ 29-38-101 — 29-38-116) › Section 29-38-113 - Burden of proof - Estoppel of persons convicted under drug laws to deny participation in illegal drug market - Lack of criminal drug conviction no bar to action

(a)
Proof of participation in the illegal drug market in an action brought under this chapter shall be shown by clear and convincing evidence. Except as otherwise provided in this chapter, other elements of the cause of action shall be shown by a preponderance of the evidence.
(b)
A person against whom recovery is sought, who has a criminal conviction pursuant to state drug laws or the Comprehensive Drug Abuse Prevention and Control Act of 1970, Public Law 91-513, 84 Stat. 1236, codified at
21 U.S.C. § 801
et seq., is estopped from denying participation in the illegal drug market. Such a conviction is also prima facie evidence of the person's participation in the illegal drug market during the two (2) years preceding the date of an act giving rise to a conviction.
(c)
The absence of a criminal drug conviction of a person against whom recovery is sought does not bar an action against that person.
Acts 2005, ch. 377, § 13.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 38 - DRUG DEALER LIABILITY ACT (§§ 29-38-101 — 29-38-116) › Section 29-38-114 - Ex parte prejudgment attachment order - Exemption of property from process - Forfeiture

(a)
A plaintiff under this chapter, subject to subsection (c), may request an ex parte prejudgment attachment order from the court, against all assets of a defendant, sufficient to satisfy a potential award. If attachment is instituted, a defendant is entitled to an immediate hearing. Attachment may be lifted if the defendant demonstrates that the assets will be available for a potential award, or if the defendant posts a bond sufficient to cover a potential award.
(b)
A person against whom a judgment has been rendered under this chapter is not eligible to exempt any property, of whatever kind, from process to levy or process to execute on the judgment.
(c)
Any assets sought to satisfy a judgment under this chapter, that are named in a forfeiture action or that have been seized for forfeiture by any state or federal agency, may not be used to satisfy a judgment, unless and until the assets have been released following the conclusion of the forfeiture action or released by the agency that seized the assets.
Acts 2005, ch. 377, § 14.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 38 - DRUG DEALER LIABILITY ACT (§§ 29-38-101 — 29-38-116) › Section 29-38-115 - Limitation of actions

(a)
Except as otherwise provided in this section, a claim under this chapter shall not be brought more than two (2) years after the cause of action accrues. A cause of action accrues under this chapter when a person who may recover has reason to know of the harm from illegal drug use that is the basis for the cause of action and has reason to know that the illegal drug use is the cause of the harm.
(b)
For a plaintiff, the statute of limitations under this chapter is tolled while the individual potential plaintiff is incapacitated by the use of an illegal drug to the extent that the individual cannot reasonably be expected to seek recovery under this chapter, or as otherwise provided by law. For a defendant, the statute of limitations under this chapter is tolled until six (6) months after the individual potential defendant is convicted of a criminal drug offense, or as otherwise provided by law.
(c)
The statute of limitations under this chapter for a claim based on participation in the illegal drug market that occurred prior to July 1, 2005, does not begin to run until July 1, 2005.
Acts 2005, ch. 377, § 15.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 38 - DRUG DEALER LIABILITY ACT (§§ 29-38-101 — 29-38-116) › Section 29-38-116 - Representation by prosecuting attorney - Motion for stay of action during drug investigation or prosecution

(a)
A prosecuting attorney may represent the state or a political subdivision of the state in an action brought under this chapter.
(b)
On motion by a governmental agency involved in a drug investigation or prosecution, an action brought under this chapter shall be stayed until the completion of the criminal investigation or prosecution that gave rise to the motion for a stay of the action.
Acts 2005, ch. 377, § 16.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 39 - COMPENSATION FOR ECONOMIC AND NONECONOMIC DAMAGES (§§ 29-39-101 — 29-39-104) › Section 29-39-101 - Chapter definitions

When used in this chapter, the following words, shall have the meanings set forth below, unless the context clearly requires otherwise:
(1)
"Economic damages" means damages, to the extent they are provided by applicable law, for: objectively verifiable pecuniary damages arising from medical expenses and medical care, rehabilitation services, mental health treatment, custodial care, loss of earnings and earning capacity, loss of income, burial costs, loss of use of property, repair or replacement of property, obtaining substitute domestic services, loss of employment, loss of business or employment opportunities, and other objectively verifiable monetary losses;
(2)
"Noneconomic damages" means damages, to the extent they are provided by applicable law, for: physical and emotional pain; suffering; inconvenience; physical impairment; disfigurement; mental anguish; emotional distress; loss of society, companionship, and consortium; injury to reputation; humiliation; noneconomic effects of disability, including loss of enjoyment of normal activities, benefits and pleasures of life and loss of mental or physical health, well-being or bodily functions; and all other nonpecuniary losses of any kind or nature.
Acts 2011, ch. 510, § 10.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 39 - COMPENSATION FOR ECONOMIC AND NONECONOMIC DAMAGES (§§ 29-39-101 — 29-39-104) › Section 29-39-103 - Findings by trier of fact

(a)
If liability is found in a civil action, then the trier of fact, in addition to other appropriate findings, shall make separate findings for each claimant specifying the amount of:
(1)
Any past damages for each of the following types of damages:
(A)
Medical and other costs of health care;
(B)
Other economic damages; and
(C)
Noneconomic damages; and
(2)
Any future damages and the periods over which they will accrue for each of the following types of damages:
(A)
Medical and other costs of health care;
(B)
Other economic damages; and
(C)
Noneconomic damages.
(b)
If the plaintiff claims a catastrophic loss or injury has occurred, and if there is a disputed issue of fact regarding whether such loss or injury has occurred, the trier of fact must make a specific finding of fact, by special verdict, that the loss or injury suffered by the plaintiff is catastrophic as defined in §
29-39-102(d)
.
(c)
The calculation of all future medical care and other costs of health care and future noneconomic losses must reflect the costs and losses during the period of time the claimant will sustain those costs and losses. The calculation for other economic loss must be based on the losses during the period of time the claimant would have lived but for the injury upon which the claim is based. All such calculations of future losses shall be adjusted to reflect net present value.
Amended by 2013 Tenn. Acts, ch. 379, s 1, eff. 5/14/2013.
Acts 2011 , ch. 510, § 10.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 40 - UNIFORM COMMERCIAL REAL ESTATE RECEIVERSHIP ACT [As added by2018Tenn. Acts, ch.731] (§§ 29-40-101 — 29-40-128) › Section 29-40-101 - Short title

This chapter shall be known and may be cited as the "Uniform Commercial Real Estate Receivership Act."
Added by 2018 Tenn. Acts, ch. 731, s 1, eff. 7/1/2018.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 40 - UNIFORM COMMERCIAL REAL ESTATE RECEIVERSHIP ACT [As added by2018Tenn. Acts, ch.731] (§§ 29-40-101 — 29-40-128) › Section 29-40-103 - Notice and opportunity for hearing

(a)
Except as otherwise provided in subsection (b), the court may issue an order under this chapter only after notice and opportunity for a hearing, as appropriate in the circumstances.
(b)
The court may issue an order under this chapter:
(1)
Without prior notice if the circumstances require issuance of an order before notice is given;
(2)
After notice and without a prior hearing if the circumstances require issuance of an order before a hearing is held; or
(3)
After notice and without a hearing if no interested party timely requests a hearing.
Added by 2018 Tenn. Acts, ch. 731, s 1, eff. 7/1/2018.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 40 - UNIFORM COMMERCIAL REAL ESTATE RECEIVERSHIP ACT [As added by2018Tenn. Acts, ch.731] (§§ 29-40-101 — 29-40-128) › Section 29-40-104 - Scope - Exclusions

(a)
Except as otherwise provided in subsection (b) or (c), this chapter applies to a receivership for an interest in real property and any personal property related to or used in operating the real property.
(b)
This chapter does not apply to a receivership for an interest in real property improved by one (1) to four (4) dwelling units unless:
(1)
The interest is used for agricultural, commercial, industrial, or mineral-extraction purposes, other than incidental uses by an owner occupying the property as the owner's primary residence;
(2)
The interest secures an obligation incurred at a time when the property was used or planned for use for agricultural, commercial, industrial, or mineral-extraction purposes;
(3)
The owner planned or is planning to develop the property into one (1) or more dwelling units to be sold or leased in the ordinary course of the owner's business; or
(4)
The owner is collecting or has the right to collect rents or other income from the property from a person other than an affiliate of the owner.
(c)
This chapter does not apply to a receivership authorized by the law of this state, other than this chapter, in which the receiver is a governmental unit or an individual acting in an official capacity on behalf of the governmental unit.
(d)
This chapter does not limit the authority of a court to appoint a receiver under other state law.
(e)
Unless displaced by a particular provision of this chapter, the principles of law and equity supplement this chapter.
Added by 2018 Tenn. Acts, ch. 731, s 1, eff. 7/1/2018.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 40 - UNIFORM COMMERCIAL REAL ESTATE RECEIVERSHIP ACT [As added by2018Tenn. Acts, ch.731] (§§ 29-40-101 — 29-40-128) › Section 29-40-105 - Power of court

The court that appoints a receiver under this chapter has exclusive jurisdiction to direct the receiver and determine any controversy related to the receivership or receivership property.
Added by 2018 Tenn. Acts, ch. 731, s 1, eff. 7/1/2018.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 40 - UNIFORM COMMERCIAL REAL ESTATE RECEIVERSHIP ACT [As added by2018Tenn. Acts, ch.731] (§§ 29-40-101 — 29-40-128) › Section 29-40-106 - Appointment of receiver

(a)
The court may appoint a receiver:
(1)
Before judgment, to protect a party that demonstrates an apparent right, title, or interest in real property that is the subject of the action, if the property or the property's revenue-producing potential:
(A)
Is being subjected to or is in danger of waste, loss, dissipation, or impairment; or
(B)
Has been or is about to be the subject of a voidable transaction;
(2)
After judgment:
(A)
To carry the judgment into effect; or
(B)
To preserve nonexempt real property pending appeal or when an execution has been returned unsatisfied and the owner refuses to apply the property in satisfaction of the judgment;
(3)
In an action in which a receiver for real property may be appointed on equitable grounds; or
(4)
During the time allowed for redemption, to preserve real property sold in an execution or foreclosure sale and secure the property's rents to the person entitled to the property's rents.
(b)
In connection with the foreclosure or other enforcement of a mortgage, a mortgagee is entitled to appointment of a receiver for the mortgaged property if:
(1)
Appointment is necessary to protect the property from waste, loss, transfer, dissipation, or impairment;
(2)
The mortgagor agreed in a signed record to appointment of a receiver on default;
(3)
The owner agreed, after default and in a signed record, to appointment of a receiver;
(4)
The property and any other collateral held by the mortgagee are not sufficient to satisfy the secured obligation;
(5)
The owner fails to turn over to the mortgagee proceeds or rents the mortgagee was entitled to collect; or
(6)
The holder of a subordinate lien obtains appointment of a receiver for the property.
(c)
The court may condition appointment of a receiver without prior notice under §
29-40-103(b)(1)
or without a prior hearing under §
29-40-103(b)(2)
on the giving of security by the person seeking the appointment for the payment of damages, reasonable attorney's fees, and costs incurred or suffered by any person if the court later concludes that the appointment was not justified. If the court later concludes that the appointment was justified, the court shall release the security.
Added by 2018 Tenn. Acts, ch. 731, s 1, eff. 7/1/2018.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 40 - UNIFORM COMMERCIAL REAL ESTATE RECEIVERSHIP ACT [As added by2018Tenn. Acts, ch.731] (§§ 29-40-101 — 29-40-128) › Section 29-40-107 - Disqualification from appointment as receiver - Disclosure of interest

(a)
The court may not appoint a person as receiver unless the person submits to the court a statement under penalty of perjury that the person is not disqualified.
(b)
Except as otherwise provided in subsection (c), a person is disqualified from appointment as receiver if the person:
(1)
Is an affiliate of a party;
(2)
Has an interest materially adverse to an interest of a party;
(3)
Has a material financial interest in the outcome of the action, other than compensation the court may allow the receiver;
(4)
Has a debtor-creditor relationship with a party; or
(5)
Holds an equity interest in a party, other than a noncontrolling interest in a publicly-traded company.
(c)
A person is not disqualified from appointment as receiver solely because the person:
(1)
Was appointed receiver or is owed compensation in an unrelated matter involving a party or was engaged by a party in a matter unrelated to the receivership;
(2)
Is an individual obligated to a party on a debt that is not in default and was incurred primarily for personal, family, or household purposes; or
(3)
Maintains with a party a deposit account as defined in §
47-9-102(a)
.
(d)
A person seeking appointment of a receiver may nominate a person to serve as receiver, but the court is not bound by the nomination.
Added by 2018 Tenn. Acts, ch. 731, s 1, eff. 7/1/2018.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 40 - UNIFORM COMMERCIAL REAL ESTATE RECEIVERSHIP ACT [As added by2018Tenn. Acts, ch.731] (§§ 29-40-101 — 29-40-128) › Section 29-40-108 - Receiver's bond - Alternative security

(a)
Except as otherwise provided in subsection (b), a receiver shall post with the court a bond that:
(1)
Is conditioned on the faithful discharge of the receiver's duties;
(2)
Has one (1) or more sureties approved by the court;
(3)
Is in an amount the court specifies; and
(4)
Is effective as of the date of the receiver's appointment.
(b)
The court may approve the posting by a receiver with the court of alternative security, such as a letter of credit or deposit of funds. The receiver may not use receivership property as alternative security. Interest that accrues on deposited funds must be paid to the receiver on the receiver's discharge.
(c)
The court may authorize a receiver to act before the receiver posts the bond or alternative security required by this section.
(d)
A claim against a receiver's bond or alternative security must be made not later than one (1) year after the date the receiver is discharged.
Added by 2018 Tenn. Acts, ch. 731, s 1, eff. 7/1/2018.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 40 - UNIFORM COMMERCIAL REAL ESTATE RECEIVERSHIP ACT [As added by2018Tenn. Acts, ch.731] (§§ 29-40-101 — 29-40-128) › Section 29-40-109 - Status of receiver as lien creditor

On appointment of a receiver, the receiver has the status of a lien creditor under:
(1)
The Uniform Commercial Code - Secured Transactions, compiled in title 47, chapter 9, as to receivership property that is personal property or fixtures; and
(2)
Title 66, as to receivership property that is real property.
Added by 2018 Tenn. Acts, ch. 731, s 1, eff. 7/1/2018.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 40 - UNIFORM COMMERCIAL REAL ESTATE RECEIVERSHIP ACT [As added by2018Tenn. Acts, ch.731] (§§ 29-40-101 — 29-40-128) › Section 29-40-110 - Security agreement covering after-acquired property

Except as otherwise provided by the law of this state, other than this chapter, property that a receiver or owner acquires after appointment of the receiver is subject to a security agreement entered into before the appointment to the same extent as if the court had not appointed the receiver.
Added by 2018 Tenn. Acts, ch. 731, s 1, eff. 7/1/2018.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 40 - UNIFORM COMMERCIAL REAL ESTATE RECEIVERSHIP ACT [As added by2018Tenn. Acts, ch.731] (§§ 29-40-101 — 29-40-128) › Section 29-40-111 - Collection and turnover of receivership property

(a)
Unless the court orders otherwise, on demand by a receiver:
(1)
A person that owes a debt that is receivership property and is matured or payable on demand or on order shall pay the debt to or on the order of the receiver, except to the extent the debt is subject to setoff or recoupment; and
(2)
Subject to subsection (c), a person that has possession, custody, or control of receivership property shall turn the property over to the receiver.
(b)
A person that has notice of the appointment of a receiver and owes a debt that is receivership property may not satisfy the debt by payment to the owner.
(c)
If a creditor has possession, custody, or control of receivership property and the validity, perfection, or priority of the creditor's lien on the property depends on the creditor's possession, custody, or control, the creditor may retain possession, custody, or control until the court orders adequate protection of the creditor's lien.
(d)
Unless a bona fide dispute exists about a receiver's right to possession, custody, or control of receivership property, the court may sanction as civil contempt a person's failure to turn the property over when required by this section.
Added by 2018 Tenn. Acts, ch. 731, s 1, eff. 7/1/2018.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 40 - UNIFORM COMMERCIAL REAL ESTATE RECEIVERSHIP ACT [As added by2018Tenn. Acts, ch.731] (§§ 29-40-101 — 29-40-128) › Section 29-40-113 - Duties of owner

(a)
An owner shall:
(1)
Assist and cooperate with the receiver in the administration of the receivership and the discharge of the receiver's duties;
(2)
Preserve and turn over to the receiver all receivership property in the owner's possession, custody, or control;
(3)
Identify all records and other information relating to the receivership property, including a password, authorization, or other information needed to obtain or maintain access to or control of the receivership property, and make available to the receiver the records and information in the owner's possession, custody, or control;
(4)
On subpoena, submit to examination under oath by the receiver concerning the acts, conduct, property, liabilities, and financial condition of the owner or any matter relating to the receivership property or the receivership; and
(5)
Perform any duty imposed by court order, this chapter, or the law of this state, other than this chapter.
(b)
If an owner is a person other than an individual, this section applies to each officer, director, manager, member, partner, trustee, or other person exercising or having the power to exercise control over the affairs of the owner.
(c)
If a person knowingly fails to perform a duty imposed by this section, the court may:
(1)
Award the receiver actual damages caused by the person's failure, reasonable attorney's fees, and costs; and
(2)
Sanction the failure as civil contempt.
Added by 2018 Tenn. Acts, ch. 731, s 1, eff. 7/1/2018.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 40 - UNIFORM COMMERCIAL REAL ESTATE RECEIVERSHIP ACT [As added by2018Tenn. Acts, ch.731] (§§ 29-40-101 — 29-40-128) › Section 29-40-114 - Stay - Injunction

(a)
Except as otherwise provided in subsection (d) or ordered by the court, an order appointing a receiver operates as a stay, applicable to all persons, of an act, action, or proceeding:
(1)
To obtain possession of, exercise control over, or enforce a judgment against receivership property; and
(2)
To enforce a lien against receivership property to the extent the lien secures a claim against the owner that arose before entry of the order.
(b)
Except as otherwise provided in subsection (d), the court may enjoin an act, action, or proceeding against or relating to receivership property if the injunction is necessary to protect the property or facilitate administration of the receivership.
(c)
A person whose act, action, or proceeding is stayed or enjoined under this section may apply to the court for relief from the stay or injunction for cause.
(d)
An order under subsection (a) or (b) does not operate as a stay or injunction of:
(1)
An act, action, or proceeding to foreclose or otherwise enforce a mortgage by the person seeking appointment of the receiver;
(2)
An act, action, or proceeding to perfect, or maintain or continue the perfection of, an interest in receivership property;
(3)
Commencement or continuation of a criminal proceeding;
(4)
Commencement or continuation of an action or proceeding, or enforcement of a judgment other than a money judgment in an action or proceeding, by a governmental unit to enforce the governmental unit's police or regulatory power; or
(5)
Establishment by a governmental unit of a tax liability against the owner or receivership property or an appeal of the liability.
(e)
The court may void an act that violates a stay or injunction under this section.
(f)
If a person knowingly violates a stay or injunction under this section, the court may:
(1)
Award actual damages caused by the violation, reasonable attorney's fees, and costs; and
(2)
Sanction the violation as civil contempt.
Added by 2018 Tenn. Acts, ch. 731, s 1, eff. 7/1/2018.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 40 - UNIFORM COMMERCIAL REAL ESTATE RECEIVERSHIP ACT [As added by2018Tenn. Acts, ch.731] (§§ 29-40-101 — 29-40-128) › Section 29-40-115 - Engagement and compensation of professional

(a)
With court approval, a receiver may engage an attorney, accountant, appraiser, auctioneer, broker, or other professional to assist the receiver in performing a duty or exercising a power of the receiver. The receiver shall disclose to the court:
(1)
The identity and qualifications of the professional;
(2)
The scope and nature of the proposed engagement;
(3)
Any potential conflict of interest; and
(4)
The proposed compensation.
(b)
(1)
A person is not disqualified from engagement under this section solely because of the person's engagement by, representation of, or other relationship with the receiver, a creditor, or a party.
(2)
This chapter does not prevent the receiver from serving in the receivership as an attorney, accountant, auctioneer, or broker when authorized by law.
(c)
(1)
A receiver or professional engaged under subsection (a) shall file with the court an itemized statement of the time spent, work performed, and billing rate of each person that performed the work and an itemized list of expenses.
(2)
The receiver shall pay the amount approved by the court.
Added by 2018 Tenn. Acts, ch. 731, s 1, eff. 7/1/2018.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 40 - UNIFORM COMMERCIAL REAL ESTATE RECEIVERSHIP ACT [As added by2018Tenn. Acts, ch.731] (§§ 29-40-101 — 29-40-128) › Section 29-40-116 - Use or transfer of receivership property not in ordinary course of business

(a)
As used in this section, "good faith" means honesty in fact and the observance of reasonable commercial standards of fair dealing.
(b)
With court approval, a receiver may use receivership property other than in the ordinary course of business.
(c)
(1)
With court approval, a receiver may transfer receivership property other than in the ordinary course of business by sale, lease, license, exchange, or other disposition.
(2)
Unless the agreement of sale provides otherwise, a sale under this section is:
(A)
Free and clear of a lien of the person that obtained appointment of the receiver, any subordinate lien, and any right of redemption; and
(B)
Subject to a senior lien.
(d)
A lien on receivership property that is extinguished by a transfer under subsection (c) attaches to the proceeds of the transfer with the same validity, perfection, and priority the lien had on the property immediately before the transfer, even if the proceeds are not sufficient to satisfy all obligations secured by the lien.
(e)
(1)
A transfer under subsection (c) may occur by means other than a public auction sale.
(2)
A creditor holding a valid lien on the property to be transferred may purchase the property and offset against the purchase price part or all of the allowed amount secured by the lien, if the creditor tenders funds sufficient to satisfy in full the reasonable expenses of transfer and the obligation secured by any senior lien extinguished by the transfer.
(f)
A reversal or modification of an order approving a transfer under subsection (c) does not affect the validity of the transfer to a person that acquired the property in good faith or revive against the person any lien extinguished by the transfer, whether the person knew before the transfer of the request for reversal or modification, unless the court stayed the order before the transfer.
Added by 2018 Tenn. Acts, ch. 731, s 1, eff. 7/1/2018.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 40 - UNIFORM COMMERCIAL REAL ESTATE RECEIVERSHIP ACT [As added by2018Tenn. Acts, ch.731] (§§ 29-40-101 — 29-40-128) › Section 29-40-118 - Defenses and immunities of receiver

(a)
A receiver is entitled to all defenses and immunities provided by the law of this state, other than this chapter, for an act or omission within the scope of the receiver's appointment.
(b)
A receiver may be sued personally for an act or omission in administering receivership property only with approval of the court that appointed the receiver.
Added by 2018 Tenn. Acts, ch. 731, s 1, eff. 7/1/2018.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 40 - UNIFORM COMMERCIAL REAL ESTATE RECEIVERSHIP ACT [As added by2018Tenn. Acts, ch.731] (§§ 29-40-101 — 29-40-128) › Section 29-40-119 - Interim report of receiver

A receiver may file or, if ordered by the court, shall file an interim report that includes:
(1)
The activities of the receiver since appointment or a previous report;
(2)
Receipts and disbursements, including a payment made or proposed to be made to a professional engaged by the receiver;
(3)
Receipts and dispositions of receivership property;
(4)
Fees and expenses of the receiver and, if not filed separately, a request for approval of payment of the fees and expenses; and
(5)
Any other information required by the court.
Added by 2018 Tenn. Acts, ch. 731, s 1, eff. 7/1/2018.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 40 - UNIFORM COMMERCIAL REAL ESTATE RECEIVERSHIP ACT [As added by2018Tenn. Acts, ch.731] (§§ 29-40-101 — 29-40-128) › Section 29-40-120 - Notice of appointment - Claim against receivership - Distribution to creditors

(a)
Except as otherwise provided in subsection (f), a receiver shall give notice of appointment of the receiver to creditors of the owner by:
(1)
Deposit for delivery through first-class mail or other commercially reasonable delivery method to the last known address of each creditor; and
(2)
Publication as directed by the court.
(b)
(1)
Except as otherwise provided in subsection (f), the notice required by subsection (a) must specify the date by which each creditor holding a claim against the owner that arose before appointment of the receiver must submit the claim to the receiver.
(2)
The date specified must be at least ninety (90) days after the later of notice under subdivision (a)(1) or last publication under subdivision (a)(2).
(3)
The court may extend the period for submitting the claim.
(4)
Unless the court orders otherwise, a claim that is not submitted timely is not entitled to a distribution from the receivership.
(c)
A claim submitted by a creditor under this section must:
(1)
State the name and address of the creditor;
(2)
State the amount and basis of the claim;
(3)
Identify any property securing the claim;
(4)
Be signed by the creditor under penalty of perjury; and
(5)
Include a copy of any record on which the claim is based.
(d)
An assignment by a creditor of a claim against the owner is effective against the receiver only if the assignee gives timely notice of the assignment to the receiver in a signed record.
(e)
(1)
At any time before entry of an order approving a receiver's final report, the receiver may file with the court an objection to a claim of a creditor, stating the basis for the objection.
(2)
The court shall allow or disallow the claim according to the law of this state, other than this chapter.
(f)
If the court concludes that receivership property is likely to be insufficient to satisfy claims of each creditor holding a perfected lien on the property, the court may order that:
(1)
The receiver need not give notice under subsection (a) of the appointment to all creditors of the owner, but only such creditors as the court directs; and
(2)
Unsecured creditors need not submit claims under this section.
(g)
Subject to §
29-40-121
:
(1)
A distribution of receivership property to a creditor holding a perfected lien on the property must be made in accordance with the creditor's priority under the law of this state, other than this chapter; and
(2)
A distribution of receivership property to a creditor with an allowed unsecured claim must be made as the court directs according to the law of this state, other than this chapter.
Added by 2018 Tenn. Acts, ch. 731, s 1, eff. 7/1/2018.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 40 - UNIFORM COMMERCIAL REAL ESTATE RECEIVERSHIP ACT [As added by2018Tenn. Acts, ch.731] (§§ 29-40-101 — 29-40-128) › Section 29-40-121 - Fees and expenses

(a)
The court may award a receiver from receivership property the reasonable and necessary fees and expenses of performing the duties of the receiver and exercising the powers of the receiver.
(b)
The court may order one (1) or more of the following to pay the reasonable and necessary fees and expenses of the receivership, including reasonable attorney's fees and costs:
(1)
A person that requested the appointment of the receiver, if the receivership does not produce sufficient funds to pay the fees and expenses; or
(2)
A person whose conduct justified or would have justified the appointment of the receiver under §
29-40-106(a)(1)
.
Added by 2018 Tenn. Acts, ch. 731, s 1, eff. 7/1/2018.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 40 - UNIFORM COMMERCIAL REAL ESTATE RECEIVERSHIP ACT [As added by2018Tenn. Acts, ch.731] (§§ 29-40-101 — 29-40-128) › Section 29-40-122 - Removal of receiver - Replacement - Termination of receivership

(a)
The court may remove a receiver for cause.
(b)
The court shall replace a receiver that dies, resigns, or is removed.
(c)
If the court finds that a receiver that resigns or is removed, or the representative of a receiver that is deceased, has accounted fully for and turned over to the successor receiver all receivership property and has filed a report of all receipts and disbursements during the service of the replaced receiver, the replaced receiver is discharged.
(d)
The court may discharge a receiver and terminate the court's administration of the receivership property if the court finds that appointment of the receiver was improvident or that the circumstances no longer warrant continuation of the receivership. If the court finds that the appointment was sought wrongfully or in bad faith, the court may assess against the person that sought the appointment:
(1)
The fees and expenses of the receivership, including reasonable attorney's fees and costs; and
(2)
Actual damages caused by the appointment, including reasonable attorney's fees and costs.
Added by 2018 Tenn. Acts, ch. 731, s 1, eff. 7/1/2018.
2023 Tennessee Code › Title 29 - REMEDIES AND SPECIAL PROCEEDINGS (§§ 29-1-101 — 29-43-101) › Chapter 40 - UNIFORM COMMERCIAL REAL ESTATE RECEIVERSHIP ACT [As added by2018Tenn. Acts, ch.731] (§§ 29-40-101 — 29-40-128) › Section 29-40-123 - Final report of receiver - Discharge

(a)
On completion of a receiver's duties, the receiver shall file a final report including:
(1)
A description of the activities of the receiver in the conduct of the receivership;
(2)
A list of receivership property at the commencement of the receivership and any receivership property received during the receivership;
(3)
A list of disbursements, including payments to professionals engaged by the receiver;
(4)
A list of dispositions of receivership property;
(5)
A list of distributions made or proposed to be made from the receivership for creditor claims;
(6)
If not filed separately, a request for approval of the payment of fees and expenses of the receiver; and
(7)
Any other information required by the court.
(b)
If the court approves a final report filed under subsection (a) and the receiver distributes all receivership property, the receiver is discharged.
Added by 2018 Tenn. Acts, ch. 731, s 1, eff. 7/1/2018.