Casa Academy

Reviewed by Casa Academy and updated July 29, 2026 using the current DBPR checklist and Pearson VUE scheduling guidance.

Receivership

Receivership is a court-appointed neutral management of property or assets during litigation or foreclosure, where a receiver collects rents, maintains the property, and preserves value until the court orders distribution or sale.

Exam context

Receivership is court-appointed property management during dispute. Receiver collects rents and maintains asset. Does not transfer fee title. Foreclosure sale may follow receivership.

Court supervision

Judges appoint receivers when parties dispute control of income-producing property or when collateral must be preserved. The receiver owes duties to the court and all parties, not just the lender. Receivership does not transfer ownership; it administers assets under court orders.

Impact on transactions

Contracts involving property in receivership require court approval for sale or lease. Tenants pay rent to the receiver. Title searches reveal lis pendens and receivership orders affecting marketability. Agents must disclose pending litigation and coordinate with counsel before marketing affected assets.

Examples

  • Apartment dispute

    During partner litigation over a 20-unit building, the court appoints a receiver to collect rents and pay utilities until ownership is decided.

  • Pre-foreclosure preservation

    A lender obtains a receiver to manage a shopping center after default, stabilizing tenants before a court-supervised sale.

Keep studying

Practice receivership questionsEnroll in pre-licensing

Related terms

  • ForeclosureEnforcement remedy that may follow receivership.
  • Equitable titleBeneficial interest contrasted with court-controlled possession.

Related resources

Sources