Bankruptcy and Insolvency Act

Marginal note:Appointment of interim receiver

• 46 (1) The court may, if it is shown to be necessary for the protection of the estate of a debtor, at any time after the filing of a petition for a receiving order and before a receiving order is made, appoint a licensed trustee as interim receiver of the property of the debtor or of any part thereof and direct him to take immediate possession thereof on such undertaking being given by the petitioner as the court may impose with respect to interference with the debtor’s legal rights and with respect to damages in the event of the petition being dismissed.

• Marginal note:Powers of interim receiver

  (2) The interim receiver appointed under subsection (1) may, under the direction of the court, take conservatory measures and summarily dispose of property that is perishable or likely to depreciate rapidly in value and exercise such control over the business of the debtor as the court deems advisable, but the interim receiver shall not unduly interfere with the debtor in the carrying on of his business except as may be necessary for conservatory purposes or to comply with the order of the court.