I just read through the court documents and here are some additional points:

  • The judge in this case -- as in all district court cases -- is merely ruling on motions brought before him. The motion to appoint a receiver was brought by the plaintiff, Howard Abselet. Abselet is the New York businessman who is claiming an ownership interest in FNC due to money owed to him by Yashouafar. Abselet's attorney filed a motion to appoint a receiver and the judge merely ruled on it. There seems to be the false impression that the judge is somehow taking a proactive role in this case.
  • After the judge ruled on the motion, he issued an Order Appointing Receiver and clearly outlined the duties. Primarily, the receiver takes sole possession and no one else can claim possession until the court issues a final ruling on the matters at hand. As with all receivers, Parrack is a caretaker and has exclusive authority to manage the building, sign new leases, collect and dispense funds and even borrow up to $1.5 million to discharge his duties without further court approval.
  • What he or anyone else can NOT do right now is sell this property. Parrack is merely a fiduciary with responsibility to look out for the interests of ALL parties involved in this case, including Yashouafar.
  • As things stand right now, the court will have the final say on the sale of the property. However, nothing has been decided on that point. The court must first decide if Goodman has a valid contract and if so, that that sale will likely go through. Or, it may rule that Alterra has legal claim. If and only if those two parties are ruled out for some reason, then a next step will be taken regarding the sale. But that does not mean the receiver gets to decide who buys the property and it also doesn't mean that the owners (still Yashouafar & Co.) won't have the right to sell to the highest bidder who can actually deliver the funds.
  • None of the existing liens or other claims around this property are affected by the receivership.


And finally, I don't see any scenario where anyone involved will make any judgment on the qualifications of a buyer to redevelop the property. If there is a legal and binding sales contract right now, then that will likely go through. If not, the owner still has the right to get as much as he can for his property, and that is the part of the fiduciary responsibility of the court and/or whoever they appoint.