Section 375.1206

Title XXIV BUSINESS AND FINANCIAL INSTITUTIONS

Chapter 375

Effective - 28 Aug 1992   

  375.1206.  Proof of claim, filed when — effect of late filing. — 1.  Proof of all claims shall be filed with the liquidator in the form required by section 375.1208 on or before the last day for filing specified in the notice required under section 375.1185, except that proofs of claim for cash surrender values or other investment values in life insurance and annuities need not be filed unless the liquidator expressly so requires.  However, only upon application of the liquidator, the court may allow alternative procedures and requirements for the filing of proofs of claim or for allowing or proving claims.  Upon such application, if the court dispenses with the requirement of filing a proof of claim by a person, class or group of persons, a proof of claim for such persons shall be deemed as having been filed for all purposes, including the application of guaranty association or foreign guaranty association laws.

  2.  The liquidator, in his absolute discretion, may permit a claimant making a late filing to share in distributions, whether past or future, as if he were not late, to the extent that any such payment will not prejudice the orderly administration of the liquidation, under any of the following circumstances:

  (1)  The existence of the claim was not known to the claimant and that he filed this claim as promptly thereafter as reasonably possible after learning of it;

  (2)  A transfer to a creditor was avoided pursuant to sections 375.1192 to 375.1195, or was voluntarily surrendered pursuant to section 375.1196, and that the filing satisfies the conditions of section 375.1196; or

  (3)  The valuation pursuant to section 375.1216 of security held by a secured creditor shows a deficiency, which is filed within thirty days after the valuation.

  3.  The liquidator, in his absolute discretion, may consider any claim filed late which is not covered by subsection 2 of this section, and permit the claimant to receive distributions which are subsequently declared on any claims of the same or lower priority if the payment does not prejudice the orderly administration of the liquidation.  The late filing claimant shall receive, at each distribution, the same percentage of the amount allowed on his claim as is then being paid to claimants of any lower priority.  These distributions shall continue until his claim has been paid in full.

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(L. 1991 H.B. 385, et al. § 84, A.L. 1992 H.B. 1574)