Common use of Effect of Appointment Clause in Contracts

Effect of Appointment. A receiver appointed by us is considered to be your agent and not ours; the receiver’s acts and defaults are considered your acts and defaults and not ours; and you alone are responsible for the receiver’s acts and defaults. Neither the appointment nor anything done by the receiver puts us in possession of property or makes us accountable for money except money we actually receive. You release every receiver appointed by us from all claims against the receiver as receiver, unless they are caused by the receiver’s dishonesty or gross neglect. You agree to pay every receiver all losses suffered by the receiver under liabilities the receiver incurs as receiver, except as far as they are caused by the receiver’s dishonesty or gross neglect.