44-617. Assignee removal; successor assignee

A. The assignor or a creditor may request a court of competent jurisdiction in this state to remove the assignee, if the assignor or creditor has a reasonable belief that grounds for removal exist under subsection B of this section.

B. After a request under subsection A of this section or on the court's initiative in an action pending before the court under section 44-620, the court may remove an assignee either:

1. For cause, including the assignee's fraud, dishonesty, incompetence, gross mismanagement or failure to comply with this chapter.

2. If removal of the assignee best serves the interests of the creditors.

C. After an assignee resigns, or is removed, dies, or becomes incapacitated, a successor assignee provided for in the assignment agreement becomes the assignee, unless the successor assignee is not eligible to be an assignee under section 44-603, subsection A or is subject to removal under subsection B of this section.  A court shall appoint a successor assignee if either:

1. The assignment agreement does not provide for a successor assignee.

2. The successor assignee provided for in the assignment agreement is ineligible to be an assignee under section 44-603, subsection A or is subject to removal under subsection B of this section.

D. Except as provided in section 44-616, an assignee who resigns, or is removed, dies, or becomes incapacitated, is discharged from the assignee's duties under this chapter when the assignee, or a representative of a deceased or incapacitated assignee:

1. Accounts for and turns over to the successor assignee all assets of the assignment estate.

2. Submits to creditors a report summarizing the receipts and disbursements made during the service of the assignee.

E. Subject to an applicable privilege, a court may order an attorney, accountant or other person that has information in a record relating to the assignment estate or the assignor's financial affairs to turn over or disclose the record to the successor assignee.