Sale of perishable or deteriorating property during pendency of litigation

17-6907. Sale of perishable or deteriorating property during pendency of litigation. Whenever the property of a corporation is at the time of the appointment of a trustee or receiver encumbered with liens of any character, and the validity, extent or legality of any such lien is disputed or brought in question, and the property of the corporation is of a character which will deteriorate in value pending the litigation respecting the lien, the district court may order the receiver or trustee to sell the property of the corporation, clear of all encumbrances, at public or private sale, for the best price that can be obtained therefor. The net proceeds arising from the sale thereof, after deducting the costs of the sale, shall be paid into the court, there to remain subject to the order of the court, and to be disposed of as the court shall direct. History: L. 1972, ch. 52, § 110; L. 2004, ch. 143, § 68; L. 2016, ch. 110, § 95; July 1. Source or Prior Law: 8 Del. C. § 297. Cross References to Related Sections: Sale, lease or exchange of corporate assets and property, see 17-6801. Mortgage or pledge of corporate assets and property, see 17-6802. Vesting of title to corporate property in trustee or receiver, see 17-6902(a). CASE ANNOTATIONS 1. Default judgment creates valid statutory lien; in absence of any evidence disputing lien, receiver may not sell real estate free of encumbrances. J.E. Akers Co. v. Advertising Unlimited, Inc., 274 Kan. 359, 49 P.3d 506 (2002). Previous | Next LEGISLATIVE COORDINATING COUNCIL General Policies 2026 Archived LCC Documents Archived LCC Meetings REVISOR OF STATUTES Archived Session Documents Archived School Finance Documents USEFUL LINKS Session Laws Kansas Administrative Regulations OTHER LEGISLATIVE SITES Kansas Legislature Administrative Services Division of Post Audit Research Department Contact Us PDF Help www.ksrevisor.gov 2026