2009 Iowa Code
Title 13 - Commerce
Subtitle 1 - Insurance and Related Regulation
CHAPTER 523I - IOWA CEMETERY ACT
523I.212 - RECEIVERSHIPS.

        523I.212  RECEIVERSHIPS.
         1.  The commissioner shall notify the attorney general of the
      potential need for establishment of a receivership if the
      commissioner finds that a cemetery subject to this chapter meets one
      or more of the following conditions:
         a.  Is insolvent.
         b.  Has utilized trust funds for personal or business purposes
      in a manner inconsistent with this chapter.
         c.  The amount held in trust in a maintenance fund or care
      fund is less than the amount required by this chapter.
         d.  A receivership has been established for a seller subject
      to chapter 523A who owns or operates a cemetery that is subject to
      this chapter.
         2.  The commissioner or attorney general may apply to the district
      court in any county of the state for the establishment of a
      receivership.  Upon proof that any of the conditions described in
      this section have occurred, the court may grant a receivership.  The
      commissioner may request that the insurance division be named as a
      receiver or that the court appoint a third party as a receiver.  If
      the division is appointed as a receiver, the division shall not be
      subject to the requirements concerning an oath and surety bond
      contained in section 680.3.
         3.  In addition to the powers granted to receivers under chapter
      680, a receiver appointed under this section shall be granted all
      powers necessary to locate and to temporarily preserve and protect
      perpetual care trust funds, consumer and business assets, interment
      records, records of consumer purchases of interment rights, and
      records of consumer purchases of funeral services and funeral or
      cemetery merchandise as defined in chapter 523A.  The receiver shall
      also be granted such powers as are necessary in the course of the
      receivership to temporarily preserve and protect a cemetery or burial
      site and to temporarily restore or sustain cemetery operations,
      including interments, as operating funds or trust funds become
      available.
         4.  The commissioner may petition the court to terminate a
      receivership at any time and to enter such orders as are necessary to
      transfer the duty to preserve and protect the physical integrity of
      the cemetery or burial site, the interment records, and other records
      documenting consumer purchases of interment rights to the applicable
      governmental subdivision, as provided in section 523I.316, subsection
      3.  The court shall grant the petition if following the first one
      hundred twenty days of the receivership such duty to preserve and
      protect cannot be reasonably assumed by a private entity,
      association, or by other means.  

         2005 Acts, ch 128, §20; 2007 Acts, ch 175, §38--40
         Referred to in § 523A.811, 523I.213