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O.C.G.A. § 34-9-168 — Grounds and procedure for restraining transaction of business by fund or administrator; appointment of receivers; criminal prosecution | Georgia Code

O.C.G.A. § 34-9-168 (2018) Copy Cite Official Site Syfertize CourtListener Scholar Amendments

TITLE 34 LABOR AND INDUSTRIAL RELATIONS

Section 9. Workers' Compensation, 34-9-1 through 34-9-432.

ARTICLE 5 GROUP SELF-INSURANCE FUNDS

34-9-168. Grounds and procedure for restraining transaction of business by fund or administrator; appointment of receivers; criminal prosecution.

If the Commissioner finds that any fund or its administrator (1) has failed to comply with any provision of this article, (2) is fraudulently operated, (3) is in such condition as to render further fund operations hazardous to the public interest or to the interests of the fund's members and their employees, (4) is financially unable to meet its obligations and claims as they come due, or (5) has violated any other provision of law, he may apply to the Superior Court of Fulton County for an injunction. The court may forthwith issue a temporary injunction restraining the transaction of any business by the fund; and, after a full hearing, it may make the injunction permanent and appoint one or more receivers to take possession of the books, papers, moneys, and other assets of the fund in order to settle its affairs and distribute its funds to those entitled thereto, subject to such rules and orders as the court may prescribe. If it appears that a crime has been committed in connection with the administration or management of any fund, the Attorney General may pursue the appropriate criminal action.

(Code 1933, § 114-621a, enacted by Ga. L. 1980, p. 1686, § 1; Ga. L. 1981, p. 1759, § 1.)

JUDICIAL DECISIONS

Claims in common with the insolvent trust fund versus personal claims.

- Trial court erred in dismissing the plaintiffs' breach of contract, misrepresentation, and other claims against a workers compensation trust fund because while the court properly concluded that the Georgia Insurance Commissioner, as an appointed receiver, had the exclusive authority to prosecute legal claims that were common to the insolvent trust fund, the court erred in finding that the plaintiffs did not have standing to prosecute claims that were personal in nature and not common to the trust fund. Superior Roofing Co. of Ga., Inc. v. Am. Prof'l Risk Servs., 323 Ga. App. 416, 744 S.E.2d 400 (2013).

RESEARCH REFERENCES

Am. Jur. 2d.

- 44A Am. Jur. 2d, Insurance, § 1828 et seq.

C.J.S.

- 44 C.J.S., Insurance, §§ 105, 108.

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This Georgia Code resource is curated by Graham Syfert, a personal injury and workers' compensation attorney admitted in Georgia (State Bar of Georgia No. 881027, since 2006) and Florida. Attorney Syfert regularly works with Title 34 in the context of Georgia workers' compensation and represents clients throughout Northeast Florida and South Georgia. For legal consultation, call 904-383-7448.