7.1 Power to Appoint Receiver.

• Jurisdiction: Arizona

The court’s equitable power to appoint a receiver “is a part of its incidental jurisdiction, not depending on any statute.” 4 Clark on Receivers § 937 (1992). The mortgagee’s right to appointment of a receiver rests on the general principle that it is necessary for preservation of the property and that it would be inequitable for the defaulting mortgagor to continue to enjoy the property and its fruits. Id. at § 946. See also Rule 66(c)(4), Arizona Rules of Civil Procedure, providing that the principles of equity govern the appointment of a receiver and the court’s power to do so. A.R.S. § 12-1241, Power of superior court to appoint receiver, provides that the superior court may appoint a receiver “to protect and preserve property or the rights of parties therein, even if the action includes no other claim for relief.” The view prior to the 1993 amendment to A.R.S. § 12-1241 had been that a lender must plead a claim separate and apart from the claim to appoint a receiver in order to support a receivership action. The procedures in Rule 66, Arizona Rules of Civil Procedure, must be followed, including the...