Okla. Stat. tit. 36, § 36-2038
This is the official text of Okla. Stat. tit. 36, § 36-2038, part of Oklahoma’s Stat. tit. 36, — part of the compiled statutory law of Oklahoma, published by the state as "Stat. tit. 36,." Browse the sections below, each linked to its official government source.
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Recovery of distribution of insurer - Limitations
Official statutory text
A. If an order for liquidation or rehabilitation of a member
insurer domiciled in this state has been entered, the receiver
appointed under such order shall have a right to recover on behalf
of the member insurer, from any affiliate that controlled it, the
amount of distributions, other than stock dividends paid by the
member insurer on its capital stock, made at any time during the
five (5) years preceding the petition for liquidation or
rehabilitation subject to the limitations of subsections B through D
of this section.
B. No such dividend shall be recoverable if the member insurer
shows that when paid the distribution was lawful and reasonable, and
that the member insurer did not know and could not reasonably have
known that the distribution might adversely affect the ability of
the member insurer to fulfill its contractual obligations.
C. Any person who was an affiliate that controlled the member
insurer at the time the distributions were paid shall be liable up
to the amount of distributions he received. Any person who was an
affiliate that controlled the member insurer at the time the
distributions were declared shall be liable up to the amount of
distributions he would have received if they have been paid
immediately. If two persons are liable with respect to the same
distributions, they shall be jointly and severally liable.
D. The maximum amount recoverable under this subsection shall
be the amount needed in excess of all other available assets of the
insolvent insurer to pay the contractual obligations of the
insolvent insurer.
E. If any person liable under subsection C of this section is
insolvent, all its affiliates that controlled it at the time the
dividend was paid shall be jointly and severally liable for any
resulting deficiency in the amount recovered from the insolvent
affiliate.
insurer domiciled in this state has been entered, the receiver
appointed under such order shall have a right to recover on behalf
of the member insurer, from any affiliate that controlled it, the
amount of distributions, other than stock dividends paid by the
member insurer on its capital stock, made at any time during the
five (5) years preceding the petition for liquidation or
rehabilitation subject to the limitations of subsections B through D
of this section.
B. No such dividend shall be recoverable if the member insurer
shows that when paid the distribution was lawful and reasonable, and
that the member insurer did not know and could not reasonably have
known that the distribution might adversely affect the ability of
the member insurer to fulfill its contractual obligations.
C. Any person who was an affiliate that controlled the member
insurer at the time the distributions were paid shall be liable up
to the amount of distributions he received. Any person who was an
affiliate that controlled the member insurer at the time the
distributions were declared shall be liable up to the amount of
distributions he would have received if they have been paid
immediately. If two persons are liable with respect to the same
distributions, they shall be jointly and severally liable.
D. The maximum amount recoverable under this subsection shall
be the amount needed in excess of all other available assets of the
insolvent insurer to pay the contractual obligations of the
insolvent insurer.
E. If any person liable under subsection C of this section is
insolvent, all its affiliates that controlled it at the time the
dividend was paid shall be jointly and severally liable for any
resulting deficiency in the amount recovered from the insolvent
affiliate.
Status: in_force · Read it on the official government site
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