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When a Lender Has Appointed a Receiver,its Primary Objective Is

Question 38

Multiple Choice

When a lender has appointed a receiver,its primary objective is redeeming sufficient assets to clear a loan.To which of the following is the ability of the receiver to control the business to the exclusion of the debtor directly related?


A) Courts recognize that creditors are in the lending business.
B) Creditors have a duty to deal with assets in a commercially responsible way.
C) The survival of the business is secondary to the creditor.
D) Creditors must avoid creating conflicts of interest.

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