California Financial Code

§ 18415.13

FIN § 18415.13 Effective Jul 1, 1985Div. 7 · Ch. 5 · Art. 4

Statute text

After the taking of possession of the property and business of any company, the commissioner may terminate or adopt any executory contract to which the company may be a party, including leases of real or personal property. The termination or adoption shall be made within six months after obtaining knowledge of the existence of the contract or lease. Any provision in the contract or lease which provides for damages or cancellation fees upon termination shall not be binding on the commissioner or the company seized. The commissioner and the company shall only be liable for actual damages and in no event in excess of one thousand dollars ($1,000). Any claim must be filed within 30 days of the date of the termination.

Legislative history

Added by Stats. 1985, Ch. 140, Sec. 1. Effective July 1, 1985.