SS HCS HB 1765, 2016 (New Section - as Truly Agreed)
515.590. 1. If a receiver is authorized to operate
the business of a debtor or manage a debtor's property, the
receiver may obtain unsecured credit and incur unsecured debt
in the ordinary course of business as an administrative expense
of the receiver without order of the court.
2. The court after notice and a hearing may authorize a receiver to obtain credit or incur debt other than in the ordinary course of business. The court may allow the receiver to mortgage, pledge, hypothecate, or otherwise encumber estate property as security for repayment of any debt that the receiver may incur, including that the court may provide that additional credit extended to a receiver by a secured creditor of the debtor be afforded the same priority as the secured creditor's existing lien.
3. When determining the propriety of allowing a receiver to obtain credit or incur debt pursuant to subsection 2 of this section, the court shall consider the likely impact on the interests of unsecured creditors of the debtor.