This law explains the actions that a commissioner can take when dealing with debts of a business or property without federal deposit insurance. For debts up to $10,000, the commissioner can manage them as they see fit, either by selling or compromising the debt. If the debt is over $10,000, the commissioner can still manage it, but needs a court's approval. If the debt is unlikely to be recovered and costs too much to pursue, the commissioner can decide not to file a suit if it's $500 or less; for debts over $10,000, they need court approval not to proceed with a lawsuit.

This law allows a commissioner to sell a licensee's property, whether it's real estate or personal items. The sale can be for cash or credit, and under terms the commissioner finds appropriate. However, these sales must be approved by the court.

This law explains how a financial business, like a bank or credit union, can be sold to another similar business with court and commissioner approval. For the sale to proceed, the buying bank's board of directors must largely agree. The businesses involved can be based in California or elsewhere, but they must follow any relevant laws from their home jurisdictions. Once a sale is approved, the buying business automatically takes over the rights and responsibilities of the business being sold, including all financial accounts and fiduciary roles. However, customers can withdraw their deposits if they choose. Any laws that usually apply to such transactions are waived for these specific sales.

If a financial institution in California that lacks federal insurance is taken over, the state commissioner has six months to either end or continue any ongoing contracts or leases involving the institution. If a contract or lease is terminated, claims for related damages can be made. However, landlords can't claim more than the rent due for the next year plus any overdue rent when an unexpired lease is rejected. Claims must be filed within 30 days of termination or as stated under Section 680, depending on which is later.

This law states that the commissioner has the power to carry out transactions, like selling property, on behalf of a licensee, especially during the process of liquidation or asset distribution. The commissioner can sign and deliver necessary documents as if they were done by the company's officers. If the sale involves real estate, a court order approving the sale must be recorded in the relevant county.

If a licensee is delinquent, the commissioner has the power to handle legal actions needed to close down or liquidate that licensee's business. The commissioner can take legal action either in their own name or on behalf of the licensee.

When the commissioner receives money while handling the closure of a financial institution, they must deposit it in one or more state banks or credit unions. If the bank or credit union fails, these deposits will be prioritized over other deposits.

If a financial licensee is being liquidated, the commissioner has to create a detailed list of the licensee's assets. This inventory is filed both in the commissioner's office and with the county clerk where the main office of the licensee is located. The inventory needs to be accessible for public inspection during reasonable hours.

After the deadline for submitting claims has passed, the commissioner must create and file a complete list of all claims, including those rejected, and any customer claims noted in the licensee's records that haven't been submitted yet. One copy goes to the commissioner's office and one to the county clerk where the licensee's main office is located, as part of the liquidation papers. Before asking the court to declare a dividend, the commissioner must also file an additional list of any new claims since the last one. These lists are available for public inspection when requested.

This law section requires the commissioner to notify people who have claims against a licensee, by advertising in a newspaper for three months and mailing notices. The notice tells claimants to provide proof of their claims within four months from the notice's start date. If customers' claims recorded in the licensee's books aren't submitted before a final dividend request, they will be permanently dismissed. Similarly, any other claims not presented within four months will also be barred.

If someone has a claim against a licensee or their property, they must submit it in writing to the commissioner within four months from when a notice to creditors is published. If they miss this deadline, the claim could be permanently barred. Claims recorded in the licensee's records should also be submitted before the commissioner requests court approval for the final payments, or they'll be barred, too, unless there's leftover money after all recognized debts are paid.

If the commissioner questions a claim's validity, they can reject it and notify the claimant. The claimant has three months from this notification to take legal action if they wish to contest the rejection.

This law allows a commissioner, after getting court approval, to pay dividends to creditors from leftover funds after expenses. This happens after the deadline for claims has passed. The commissioner must set aside enough money to pay customers who haven’t yet claimed but are listed in the company’s records. After one year from the first notice to creditors, a final dividend can be paid with court approval.

This law outlines the order of priority for paying expenses and claims from unsecured creditors during liquidation. First, the costs of liquidation and department fees are paid. Next, claims with special priority under other laws come second. Third, deposit claims, as defined by federal law, are addressed, including specific obligations. After that, general liabilities are paid. Finally, obligations that are subordinate to deposits and liabilities are considered. Interest on claims is given the same priority as the original claim but is only paid after all those claims have been covered. Any leftover funds go to members or shareholders.

If someone objects to a claim that hasn't been rejected by the commissioner, they need to file their objection with the commissioner. The commissioner will then present this objection to the court during the next dividend-related court session. The court will then address the objections, either deciding on them directly or appointing someone else to do so. If the objection is upheld, the claim won't be accepted by the commissioner until the person making the claim proves it legally in court.

This law says that if dividends or money meant for shares or deposits aren't claimed within six months after the final dividend is ordered, that money goes to the State Treasury. These funds are treated like unclaimed money under specific procedures, meaning they can still be claimed or dealt with later. Before the money is transferred to the State Treasury, the commissioner can give it to the rightful owners if they prove their claim.

This section states that if the commissioner has to send unclaimed money or property to a state officer for deposit into the State Treasury, they must also send over any related identifying information, like signature cards, if the Controller requests it. Once these documents are sent to the Controller, both the commissioner and the licensee are no longer responsible for the property. The Controller can choose to destroy these documents if they aren't needed anymore for the benefit of the customers or the state.

When the commissioner takes over a business and its property, any approved claims from customers and creditors will earn interest. This interest is the same rate that applies to legal judgments.

This law requires that if a business is holding valuable items or has rented out vaults, safes, or safe-deposit boxes, the commissioner must send a registered mail notice to the owners. The notice tells them to remove their property within at least 60 days.

This law states that when someone has to remove their property or return a rented box by a certain date, their rental contract with the person or business (the licensee) ends on that day. If they paid for rent in advance, the licensee owes them a refund for the unused portion.

If someone doesn't pick up their property by the deadline given in a notice, the commissioner has the authority to deal with it as instructed by the court. The commissioner can open a safe, vault, or box in front of a witness and a neutral notary. The notary will seal any found items in a package, label it with the owner's details, and list the contents. This sealed package will be stored securely until it’s handed over to the owner or otherwise handled as decided by the court.

This law section outlines the steps for legally dissolving a licensee after its financial affairs have been settled. First, the commissioner petitions the court to declare the licensee dissolved once liquidation is complete. Then, after a court hearing and any required notices, the court can officially declare the dissolution. The court order must state that the licensee has resolved its tax obligations, paid or planned for any debts or liabilities, and distributed all assets appropriately. Once the court declares the licensee dissolved, its corporate existence ends, except for final winding-up activities. Lastly, the commissioner must file this dissolution order with the Secretary of State.

This law section states that whenever court approval is needed during liquidation proceedings, there has to be a hearing with notice given as directed by the court. During the hearing, the court can choose to approve the actions proposed by the commissioner or direct the commissioner differently regarding the matter at hand.

This law allows a commissioner to borrow money on behalf of a company that is being liquidated or reorganized if it's in the public or customer interest. The borrowed funds can come from federal agencies that lend to those overseeing the closure or liquidation of such companies. With court approval, the commissioner can use the company's assets as collateral for these loans.