LPA Receivership

LPA Receivership occurs when a lender, typically under a legal agreement called a Limited Partnership Agreement (LPA), appoints a receiver to take control of a partnership’s assets—usually in a real estate or business investment—due to default or financial issues. The receiver manages, preserves, or sells the assets to recover debt, acting in the best interest of creditors. This process helps ensure the lender recovers funds without terminating the entire partnership or going through lengthy court proceedings, providing a structured way to address financial problems while maintaining asset management.