Vermont § 7063 - Actions by and against liquidator

§ 7063. Actions by and against liquidator

• (a) Upon issuance of an order appointing a liquidator of a domestic insurer or of an alien
  insurer domiciled in this State, no action shall be brought against the insurer or
  liquidator, whether in this State or elsewhere, nor shall any such existing actions
  be maintained or further presented after issuance of such order. The courts of this
  State shall give full faith and credit to injunctions against actions against the
  liquidator or the company or the continuation of existing actions against the liquidator
  or the company, when such injunctions are included in an order to liquidate an insurer
  issued pursuant to corresponding provisions in other states. Whenever, in the liquidator’s
  judgment, protection of the estate of the insurer necessitates intervention in an
  action against the insurer that is pending outside this State, he or she may intervene
  in the action. The liquidator may defend any action in which he or she intervenes
  under this section at the expense of the estate of the insurer. (b) The liquidator may, upon or after an order for liquidation, within two years or such
  time in addition to two years as applicable law may permit, institute an action or
  proceeding on behalf of the estate of the insurer upon any cause of action against
  which the period of limitation fixed by applicable law has not expired at the time
  of the filing of the petition upon which such order is entered. Where, by agreement,
  a period of limitation is fixed for instituting a suit or proceeding upon any claim,
  or for filing any claim, proof of claim, proof of loss, demand, notice, or the like,
  or where in any proceeding, judicial or otherwise, a period of limitation is fixed,
  either in the proceeding or by applicable law, for taking any action, filing any claim
  or pleading, or doing any act, and where in any such case the period had not expired
  at the date of the filing of the petition; the liquidator may, for the benefit of
  the estate, take any such action or do any such act, required of or permitted to the
  insurer, within a period of 180 days subsequent to the entry of an order for liquidation,
  or within such further period as is shown to the satisfaction of the court not to
  be unfairly prejudicial to the other party. (c) A statute of limitation or defense of laches shall not run with respect to any action
  against an insurer between the filing of a petition for liquidation against an insurer
  and the denial of the petition. An action against the insurer that might have been
  commenced when the petition was filed may be commenced for at least 60 days after
  the petition is denied. (Added 1991, No. 45, § 2, eff. May 29, 1991.)