# 18 Del. C. § 5906: § Â 5906. Grounds for liquidation

> Delaware · Statutes · In force

URL: https://www.frixlaw.com/law-library/statutes/STATE_DE_T18_C59_SI_S5906

## Section

- **Citation:** 18 Del. C. § 5906
- **Heading:** § Â 5906. Grounds for liquidation
- **Jurisdiction:** Delaware
- **Kind:** Statutes
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** Delaware Code / Title 18 / Chapter 59 / Subchapter I / Section 5906

## Text

The Commissioner may apply to the court for an order appointing the Commissioner as receiver (if the Commissioner appointment as receiver shall not be then in effect) and directing the Commissioner to liquidate the business of a domestic insurer or of the United States branch of an alien insurer having trusteed assets in this State, regardless of whether or not there has been a prior order directing the Commissioner to rehabilitate such insurer, upon any of the grounds specified in § 5905 of this title or if such insurer:

(1) Has ceased transacting business for a period of 1 year, or

(2) Is an insolvent insurer and has commenced voluntary liquidation or dissolution or attempts to commence or prosecute any action or proceeding to liquidate its business or affairs or to dissolve its corporate charter or to procure the appointment of a receiver, trustee, custodian or sequestrator under any law except this title.

## Nearby sections

- [18 Del. C. § 5901 § Â
        5901. Definitions [For application of this section, see 79 Del. Laws, c. 207, Â 3].](https://www.frixlaw.com/law-library/statutes/STATE_DE_T18_C59_SI_S5901.md)
- [18 Del. C. § 5902 § Â
        5902. Jurisdiction of delinquency proceedings; venue; change of venue; exclusiveness of remedy; appeal.](https://www.frixlaw.com/law-library/statutes/STATE_DE_T18_C59_SI_S5902.md)
- [18 Del. C. § 5903 § Â
        5903. Commencement of delinquency proceedings.](https://www.frixlaw.com/law-library/statutes/STATE_DE_T18_C59_SI_S5903.md)
- [18 Del. C. § 5904 § Â
        5904. Injunctions [For application of this section, see 79 Del. Laws, c. 207, Â 3].](https://www.frixlaw.com/law-library/statutes/STATE_DE_T18_C59_SI_S5904.md)
- [18 Del. C. § 5904A § Â
        5904A. Proceedings against bank insurance division.](https://www.frixlaw.com/law-library/statutes/STATE_DE_T18_C59_SI_S5904A.md)
- [18 Del. C. § 5905 § Â
        5905. Grounds for rehabilitation; domestic insurers.](https://www.frixlaw.com/law-library/statutes/STATE_DE_T18_C59_SI_S5905.md)
- [18 Del. C. § 5906 § Â
        5906. Grounds for liquidation.](https://www.frixlaw.com/law-library/statutes/STATE_DE_T18_C59_SI_S5906.md)
- [18 Del. C. § 5907 § Â
        5907. Grounds for conservation; foreign insurers.](https://www.frixlaw.com/law-library/statutes/STATE_DE_T18_C59_SI_S5907.md)
- [18 Del. C. § 5908 § Â
        5908. Grounds for conservation — Alien insurers.](https://www.frixlaw.com/law-library/statutes/STATE_DE_T18_C59_SI_S5908.md)
- [18 Del. C. § 5909 § Â
        5909. Grounds for ancillary liquidation; foreign insurers.](https://www.frixlaw.com/law-library/statutes/STATE_DE_T18_C59_SI_S5909.md)
- [18 Del. C. § 5910 § Â
        5910. Order of rehabilitation; termination.](https://www.frixlaw.com/law-library/statutes/STATE_DE_T18_C59_SI_S5910.md)
- [18 Del. C. § 5911 § Â
        5911. Order of liquidation; domestic insurers; insolvent insurer’s assets.](https://www.frixlaw.com/law-library/statutes/STATE_DE_T18_C59_SI_S5911.md)
- [18 Del. C. § 5912 § Â
        5912. Order of conservation or ancillary liquidation of foreign or alien insurers.](https://www.frixlaw.com/law-library/statutes/STATE_DE_T18_C59_SI_S5912.md)
- [18 Del. C. § 5913 § Â
        5913. Conduct of delinquent proceedings against domestic and alien insurers.](https://www.frixlaw.com/law-library/statutes/STATE_DE_T18_C59_SI_S5913.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_DE_T18_C59_SI_S5906. Check the current official text before relying on it. Not legal advice.