Section 29 - Appointment of a Receiver when an Attorney Becomes Unable to Continue the Practice of Law29.1. The purpose of this Section is to protect clients and, to the extent possible and not inconsistent with the protection of clients, to protect the interests of the attorney to whom this rule applies.29.2. Appointment of a Receiver Attorney.(a) For purposes of this Section, an "affected attorney" is an attorney who is licensed and engaged in the practice of law in this State and who has no partner, associate, executor, or other appropriate successor or representative capable and available to continue or wind-down the attorney's law practice. (b) If an affected attorney has: (1) resigned or been suspended or disbarred from the practice of law;(2) disappeared or abandoned the practice of law;(3) become disabled or incapacitated or otherwise become unable to continue the practice of law or has been transferred to disability inactive status pursuant to Section 27 of this Rule; or(4) died, the Board of Professional Responsibility, the Tennessee Bar Association or any local bar association, any attorney licensed to practice law in this state, or any other interested person may commence a proceeding in the chancery, circuit, or probate court for the county in which the affected attorney maintained an office for the practice of law for the appointment of an attorney who is licensed to practice law in this state and in good standing with the Board of Professional Responsibility to serve as a receiver attorney to wind-down the law practice of the affected attorney.(c) The proceeding shall be commenced by the filing of a complaint setting forth the pertinent facts, which shall be verified or accompanied by the affidavit or declaration under penalty of perjury of a person having personal knowledge of the facts. To the extent practicable, the complaint and any accompanying affidavit or declaration under penalty of perjury shall be served upon the affected attorney or the guardian, conservator, or personal representative of the affected attorney if one has been appointed and qualified.(d) If the trial court determines upon a showing by a preponderance of the evidence that the appointment of a receiver attorney is necessary to protect the interests of the affected attorney's clients or the interests of the affected attorney, the trial court shall appoint one or more receiver attorneys. The order of the trial court may be appealed to the Court by the affected attorney or by the guardian or personal representative of the affected attorney, or by the complainant.29.3. Duties and Authority of a Receiver Attorney.(a) The receiver attorney shall: (1) take custody of the files, records, bank accounts, and other property of the affected attorney's law practice;(2) review the files and other papers to identify any pending matters;(3) notify all clients represented by the affected attorney in pending matters of the appointment of the receiver attorney and suggest that it may be in their best interest to obtain replacement counsel;(4) notify all courts and counsel involved in any pending matters, to the extent they can be reasonably identified, of the appointment of a receiver attorney for the affected attorney;(5) deliver the files, money, and other property belonging to the clients of the affected attorney pursuant to the client's directions, subject to the right to retain copies of such files or assert a retaining or charging lien against such files, money, or other property if fees or disbursements for past services rendered are owed to the affected attorney by the client; and(6) take such steps as seem indicated to protect the interests of the clients, the public, and, to the extent possible and not inconsistent with the protection of the affected attorney's clients, to protect the interests of the affected attorney. If the receiver attorney determines that conflicts of interest exist between the receiver attorney and a client of the affected attorney, the receiver attorney shall notify the court of the existence of the conflict of interest with regard to the particular matters and the receiver attorney shall take no action with regard to those cases or files.(b) The order appointing the receiver attorney shall specifically authorize the receiver attorney to take custody of and act as signatory on any bank or investment accounts, safe deposit boxes, and other depositories maintained by the affected attorney in connection with the affected attorney's law practice, including trust accounts, escrow accounts, payroll accounts, IOLTA accounts, operating accounts, and special accounts, and to disburse funds to clients of the affected attorney or others entitled thereto, and take all appropriate actions with respect to such accounts.(c) The receiver attorney shall take reasonable efforts to safeguard all property in the offices of the affected attorney and to collect any outstanding attorney's fees, costs, and expenses to which the affected attorney is entitled and shall make appropriate arrangements for the prompt resolution of any disputes concerning outstanding attorney's fees, costs, and expenses.(d) To the extent possible, the receiver attorney shall assist and cooperate with the affected attorney and the guardian or personal representative of the affected attorney in the transition, sale, or winding-down of the affected attorney's law practice. The receiver attorney may purchase the law practice of the affected attorney only upon the trial court's approval of such sale.(e) The trial court may order the receiver attorney to submit interim and final accountings, as it deems appropriate. The trial court may allow or direct portions of any accounting relating to the funds and confidential information of the clients of the affected attorney to be filed under seal.29.4. Protection of Client Information and Privilege. The appointment of the receiver attorney shall not be deemed in any manner to create the relationship of attorney and client between the receiver attorney and any client of the affected attorney. However, the attorney-client privilege shall apply to all communications by or between the receiver attorney and the clients of the affected attorney to the same extent as it would have applied to any communications by or to the affected attorney, and the receiver attorney shall be governed by Rule 1.6 of the Tennessee Rules of Professional Conduct with respect to all information contained in the files of the affected attorney's clients and any information relating to the matters in which the clients were being represented by the affected attorney.29.5. Protection of Client Files and Property. The trial court shall have jurisdiction over all of the files, records, and property of clients of the affected attorney and may make any orders necessary or appropriate to protect the interests of the clients of the affected attorney and, to the extent possible and not inconsistent with the protection of clients, the interests of the affected attorney, including, but not limited to, orders relating to the delivery, storage, or destruction of the client files of the affected attorney.29.6. Fees and Expenses of the Receiver Attorney.(a) The receiver attorney shall be entitled to reasonable fees in compensation for performance of the receiver attorney's duties and reimbursement for actual and reasonable costs incurred by the receiver attorney in connection with the performance of the receiver attorney's duties. Reimbursable expenses shall include, but not be limited to, the actual and reasonable costs incurred in connection with maintaining the staff, offices, and operation of the affected attorney's law practice and the employment of attorneys, accountants, and others retained by the receiver attorney in connection with carrying out the receiver attorney's duties.(b) The receiver attorney shall file an application for fees and expenses with the trial court, which shall determine the amount of such fees and reimbursement. The application shall be accompanied by an accounting in a form and substance acceptable to the trial court of all funds and property coming into the custody of the receiver attorney.(c) Any fees and expenses awarded by the trial court to the receiver attorney shall be paid by the affected attorney or the estate of the affected attorney or from such other available sources as the court may direct. The order of the trial court awarding the fees and expenses shall be a judgment against the affected attorney or the estate of the affected attorney. The judgment shall be a lien upon all property of the affected attorney or the estate of the affected attorney retroactive to the date of filing of the complaint for the appointment of a receiver attorney under this Rule. The judgment lien is subordinate to possessory liens and to non-possessory liens and security interests created prior to its taking effect and may be foreclosed upon in the manner prescribed by law.29.7. Limitation of Liability. Any person serving as a receiver attorney under this Rule shall be immune from suit for any conduct undertaken in good faith in the course of the official duties of the receiver attorney.29.8. Employment of the Receiver as Attorney for a Client. A receiver attorney shall not, without the informed written consent of the client and the permission of the trial court, represent a client in a pending matter in which the client was represented by the affected attorney, other than to temporarily protect the interests of the client, or unless and until the receiver attorney has concluded the purchase of the law practice of the affected attorney. Any written consent by the client shall include an acknowledgment that the client is not obligated to use the receiver attorney.29.9. Advance Designation of a Receiver or Successor Attorney. An attorney may designate in advance another attorney by contract, appointment, or other arrangement to handle or assist in the continued operation, sale, or closing of the attorney's law practice in the event of such attorney's death, incapacity or unavailability. In the event an attorney to whom this rule applies has made adequate provision for the protection of his or her clients, such provision shall govern to the extent consistent with this Rule unless the trial court or the Court determines, upon a showing of good cause, that the provisions for the appointment of a receiver attorney under this Rule should be invoked. After a complaint for the appointment of a receiver attorney has been filed, the affected attorney or the guardian, conservator, or personal representative of the affected attorney may designate a successor attorney and the trial court shall respect such designation unless the trial court determines, upon a showing of good cause, that such designation should be set aside.29.10. Effect on Pending Cases. Upon entry of the order appointing a receiver attorney, any applicable statute of limitations, deadline, time limit, or return date for a filing as it relates to the clients of the affected attorney shall be tolled during the period from the date of the filing of the complaint for the appointment of a receiver attorney until the first regular business day that is not less than sixty (60) days after the date of the entry of the order appointing the receiver attorney, if it would otherwise expire before the extended date.