Except as otherwise ordered by the court, for good cause shown, a general receiver shall be liable for any loss of income which results from his (i) failure to invest any money held by him pursuant to §§ 8.01-582 through 8.01-586 within sixty days of his receipt of the funds or (ii) failure to pay out any money so ordered by the court within sixty days of the court order. He shall be charged with interest from the date of the court order until such investment or payment is made.
§ 8.01-587.Liability of general receivers.
Chapter 22. Receivers, General and Special · Article 1. General Receivers · Last amended 1988 · Last verified July 16, 2026
In one sentenceThis section makes a general receiver personally liable for lost income when he fails, without good cause shown to the court, to invest received funds within sixty days or to pay out court-ordered disbursements within sixty days, charging him interest until he complies.
Full Text of § 8.01-587
Plain-English Summary
The duties to invest and disburse money laid out in the preceding sections carry teeth. This section holds a general receiver liable for any loss of income that results from his failure to invest money within sixty days of receiving it, or his failure to pay out money the court has ordered within sixty days of that order.
The sixty-day clock is not absolute — the court can excuse a delay for good cause shown. Absent that excuse, though, the receiver does not just owe an apology for the delay; he is charged with interest running from the date of the court's order until the investment or payment is finally made.
Read together with §§ 8.01-582 through 8.01-586, this section turns the receiver's administrative duties into an enforceable financial obligation, giving beneficiaries a concrete remedy when a receiver lets money sit uninvested or unpaid past the deadline.
Frequently Asked Questions
What two failures can make a general receiver liable under this section?
Failing to invest money held by him within sixty days of receiving it, or failing to pay out money the court ordered paid within sixty days of that order.
Can a receiver avoid this liability?
Yes, the court may excuse it for good cause shown.
What is the receiver charged with once he is liable?
Interest, running from the date of the court order until the investment or payment is finally made.
Which sections define the underlying duties this section enforces?
Sections 8.01-582 through 8.01-586.
What is the receiver liable for, specifically?
Any loss of income that results from the delay in investing or paying out the funds.
Amendment History
Code 1950, § 8-730; 1977, c. 617; 1988, c. 841.
Source & verification. Section text and amendment history are
reproduced verbatim from the Code of Virginia, published by the
Code of Virginia, Virginia Division of Legislative Automated Systems. Last verified July 16, 2026.
· Official source
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