New York Mental Hygiene Code § 19.41

Facilities; receivership
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§ 19.41 Facilities; receivership.\n  a. The owner or owners of any facility may at any time request the\noffice to take over the operation of such facility by the appointment of\na receiver. Upon receiving such a request, the office may, if it deems\nsuch action desirable, enter into an agreement with any such owners with\nrespect to the appointment of a receiver to take charge of the facility\nunder conditions as found acceptable by both parties. Receivership\ncommenced in accordance with the provisions of this subdivision shall\nterminate at such time as may be provided in the receivership agreement,\nor at such time as either party notifies the other in writing that he or\nshe wishes to terminate such receivership.\n  b.  (1) Upon issuing a notice that the commissioner will revoke or\nsuspend a license or operating certificate in accordance with this\narticle and article thirty-two of this chapter, or that he or she will\ndisapprove an application of renewal of such certificate or license\npursuant to this article and article thirty-two of this chapter the\ncommissioner may apply to the supreme court in the county where the\nfacility is located for an order to show cause why a receiver should not\nbe appointed to operate the facility. The court shall, upon determining\nthat the notice was properly issued and that it would be in the best\ninterests of the persons served by the facility to have services\ncontinued after the effective date of the revocation or suspension,\nappoint a receiver for the facility to take effect upon the revocation\nor suspension of the operating certificate or license in accordance with\nthe provisions of this article.\n  The order to show cause shall be returnable not less than five days\nafter service is completed and shall provide for personal service of a\ncopy thereof and the papers upon which it is based on the operator of\nthe facility and upon the owner or owners of the land and/or owners of\nthe land and/or structure on or in which the facility is located. If any\nsuch operator or owner cannot with due diligence be served personally\nwithin the county where the property is located and within the time\nfixed in such order, then service may be made on such person by posting\na copy thereof in a conspicuous place within the facility in question,\nand by sending a copy thereof by registered mail, return receipt\nrequested, to such owner at the last address registered to him or her\nwith the office, or in the absence of such registration, to the address\nset forth in the last recorded deed with respect to such facility.\nService shall be deemed complete on filing proof of service thereof in\nthe office of the county clerk, or the clerk of the city of New York, as\nthe case may be.\n  (2) The commissioner may, prior to suspending an operating certificate\nor license pursuant to this article and article thirty-two of this\nchapter, request a temporary restraining order appointing a receiver for\na facility effective with the commissioner's issuance of the notice of\nthe suspension. The court shall issue the temporary restraining order if\nit is satisfactorily shown by the commissioner that he or she has\nreasonable grounds for finding that continued operation of the facility\nby the current provider of services presents an imminent danger to the\nhealth and welfare of any of the public or any of the individuals served\nby the facility.\n  (3) The court shall appoint a receiver which should, where reasonably\npossible, be a voluntary association or other not-for-profit corporation\nrecommended by the commissioner which holds a valid and current\noperating certificate or license for a similar type facility, or which\nshall satisfactorily demonstrate to the commissioner its qualifications\nfor such operating certificate or license.\n  (4) On the return of said order to show cause, determination shall\nhave precedence over every other business of the court unless the court\nshall find that some other

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