--- kind: "range" citation: "12 U.S.C. §§ 205–209" title: "12" from: "205" to: "209" count: 5 release: "119-102" url: "https://uscodex.org/usc/12/205..209" --- # §205. Termination of conservatorship - (a) **General rule—** At any time the Comptroller[^1] becomes satisfied that it may safely be done and that it would be in the public interest, the Comptroller (with the agreement of the [Board](/usc/12/221a.md?p=a) of [Directors](/usc/12/2279bb.md?p=3) of the Federal [Deposit](/usc/12/5301.md?p=18-A) Insurance [Corporation](/usc/12/2277a.md?p=2) when the [Corporation](/usc/12/2277a.md?p=2) has been appointed conservator) may— - (1) terminate the conservatorship and permit the involved [bank](/usc/12/202.md) to resume the transaction of its business subject to such terms, conditions, and limitations as the Comptroller may prescribe; or - (2) terminate the conservatorship upon a sale, merger, consolidation, purchase and assumption, change in [control](/usc/12/24a.md?p=g-1), or [voluntary dissolution and liquidation](/usc/12/202.md) of the involved [bank](/usc/12/202.md). - (b) **Other grounds for termination—** The Comptroller also may terminate the conservatorship upon the appointment of a receiver pursuant to [section 191 of this title](/usc/12/191.md). - (c) **Enforcement under Federal Deposit Insurance Act—** Such terms, conditions, and limitations as may be prescribed under [subsection (a)(1)](#a-1) shall be enforceable under the provisions of section 8(i) of the Federal [Deposit](/usc/12/5301.md?p=18-A) Insurance Act [[12 U.S.C. 1818(i)](/usc/12/1818.md?p=i)], to the same extent as an order issued pursuant to section 8(b) of the Federal [Deposit](/usc/12/5301.md?p=18-A) Insurance Act [[12 U.S.C. 1818(b)](/usc/12/1818.md?p=b)] which has become final. The [bank](/usc/12/202.md) may bring an action in the United States [district](/usc/12/221a.md?p=a) court for the judicial [district](/usc/12/221a.md?p=a) in which the home [office](/usc/12/2279bb.md?p=4) of such [bank](/usc/12/202.md) is located or in the United States [District](/usc/12/221a.md?p=a) Court for the District of Columbia for an order requiring the Comptroller to terminate the order. An action for judicial review of the terms, conditions, and limitations may not be commenced later than 20 days from the date of the termination of the conservatorship or the imposition of the order, whichever is later. - (d) **Action upon termination—** - (1) **In general—** Upon termination of the conservatorship under [subsection (a)(2)](#a-2), the Federal [Deposit](/usc/12/5301.md?p=18-A) Insurance [Corporation](/usc/12/2277a.md?p=2), as conservator, or when another [person](/usc/12/5481.md?p=19) is appointed conservator, such other [person](/usc/12/5481.md?p=19), shall conclude the affairs of the conservatorship in accordance with [paragraph (2)](#d-2). - (2) **Deposit and distribution of proceeds—** - (A) Within 180 days of the sale, merger, consolidation, purchase and assumption, change in [control](/usc/12/24a.md?p=g-1), or [voluntary dissolution and liquidation](/usc/12/202.md), the conservator shall [deposit](/usc/12/5301.md?p=18-A) all net proceeds received from the transaction, less any outstanding expenses of the conservatorship, with the United States [district](/usc/12/221a.md?p=a) court for the judicial [district](/usc/12/221a.md?p=a) in which the home [office](/usc/12/2279bb.md?p=4) of such [bank](/usc/12/202.md) is located and shall cause notice to be published for three consecutive months and notify by mail all known and remaining creditors and shareholders. Within 60 days thereafter, any depositor, creditor, or other claimant of the [bank](/usc/12/202.md), or any shareholder of the [bank](/usc/12/202.md) may bring an action in interpleader in that court for distribution of the proceeds. The [district](/usc/12/221a.md?p=a) court shall distribute such [funds](/usc/12/4702.md?p=10) equitably. If no such action is instituted within one year after the date the [funds](/usc/12/4702.md?p=10) are deposited with the [district](/usc/12/221a.md?p=a) court, title to such net proceeds shall revert to the United States and the [district](/usc/12/221a.md?p=a) court shall remit the [funds](/usc/12/4702.md?p=10) to the Treasury of the United States. - (B) The conservator shall be deemed to have discharged all responsibility of the conservatorship upon the [deposit](/usc/12/5301.md?p=18-A) of the proceeds with the [district](/usc/12/221a.md?p=a) court and giving the required notifications. # §206. Conservator; powers and duties - (a) **General powers—** A conservator shall have all the powers of the shareholders, [directors](/usc/12/2279bb.md?p=3), and officers of the [bank](/usc/12/202.md) and may operate the [bank](/usc/12/202.md) in its own name unless the Comptroller[^1] in the order of appointment limits the conservator’s authority. - (b) **Subject to rules of Comptroller—** The conservator shall be subject to such rules, regulations, and orders as the Comptroller from time to time deems appropriate; and, except as otherwise specifically provided in such rules, regulations, or orders or in [section 209 of this title](/usc/12/209.md), shall have the same rights and privileges and be subject to the same duties, restrictions, penalties, conditions, and limitations as apply to [directors](/usc/12/2279bb.md?p=3), officers, or employees of a [national bank](/usc/12/221a.md?p=a). - (c) **Payment of depositors and creditors—** The Comptroller may require the conservator to set aside and make available for withdrawal by depositors and payment to other creditors such amounts as in the opinion of the Comptroller may safely be used for that purpose. All depositors and creditors who are similarly situated shall be treated in the same manner. - (d) **Compensation of conservator and employees—** The conservator and professional employees appointed to represent or assist the conservator shall not be paid amounts greater than are payable to employees of the Federal Government for similar services, except that the Comptroller of the Currency may authorize payment at higher rates (but not in excess of rates prevailing in the private sector), if the Comptroller determines that paying such higher rates is necessary in order to recruit and retain competent personnel. - (e) **Expenses—** All expenses of any such conservatorship shall be paid by the [bank](/usc/12/202.md) and shall be a lien upon the [bank](/usc/12/202.md) which shall be prior to any other lien. # [§207. Repealed. Pub. L. 101–73, title VIII, § 808, Aug. 9, 1989, 103 Stat. 446 — repealed] # [§208. Repealed. Pub. L. 101–73, title VIII, § 808, Aug. 9, 1989, 103 Stat. 446 — repealed] # §209. Liability protection - (a) **Federal agency and employees—** In any case in which the conservator is a [Federal agency](/usc/12/3101.md?p=5) or an employee of the Government, the provisions of chapters [161](/usc/28/chptVI-ch161.md) and [171](/usc/28/chptVI-ch171.md) of title 28 shall apply with respect to such conservator’s liability for acts or omissions performed pursuant to and in the course of the duties and responsibilities of the conservatorship. - (b) **Other conservators—** In any case where the conservator is not a conservator described in [subsection (a)](#a), the conservator shall not be liable for damages in tort or otherwise for acts or omissions performed pursuant to and in the course of the duties and responsibilities of the conservatorship, unless such acts or omissions constitute gross negligence, [including](/usc/12/25b.md?p=a-3) any similar conduct or any form of intentional tortious conduct, as determined by a court. - (c) **Indemnification—** The Comptroller[^1] shall have authority to indemnify the conservator on such terms as the Comptroller deems proper.