25 Del. C. ch. 59 § 5904
Stay of judgment by defendant
Operative Text
(a) If, after a trial, the Court shall determine that the petition should be granted, the Court shall immediately enter judgment thereon and appoint a receiver as authorized herein; provided, however, prior to the entry to judgment and appointment of a receiver, the owner or any mortgagee or lienor of record or other person having an interest in the property may apply to the Court to be permitted to remove or remedy the conditions specified in the petition. If such person demonstrates the ability to perform promptly the necessary work and posts security for the performance thereof within the time, and in the amount and manner, deemed necessary by the Court, then the Court may stay judgment and issue an order permitting such person to perform the work within a time fixed by the Court and requiring such person to report to the Court periodically on the progress of the work. The Court shall retain jurisdiction over the matter until the work is completed. (b) If, after the issuance of an order under the foregoing provision but before the time fixed in such order for the completion of the work prescribed therein, there is reason to believe that the work will not be completed pursuant to the court’s order or that the person permitted to do the same is not proceeding with due diligence, the Court or the petitioners, upon notice to all parties to the proceeding, may move that a hearing be held to determine whether judgment should be rendered immediately as provided in the following subsection. (c) (1) If, upon a hearing authorized in the preceding subsection, the Court shall determine that such party is not proceeding with due diligence, or upon the actual failure of such person to complete the work in accordance with the provisions of the order, the Court shall appoint a receiver as authorized herein. (2) Such judgment shall direct the receiver to apply the security posted to executing the powers and duties as described herein. (3) In the event that the amount of such security should be insufficient to accomplish the above objectives, such judgment shall direct the receiver to collect the rents, profits and issues to the extent of the deficiency. In the event that the security should exceed the amount necessary to accomplish the above objectives, such judgment shall direct the receiver to return the excess to the person posting the security.
Section 5904 of Title 25 of the Delaware Code establishes a process by which a court, after finding that a petition against a property should be granted, may pause—or 'stay'—its judgment before appointing a receiver. An owner, mortgagee, lienholder, or other interested party can ask the court for a chance to fix the cited conditions themselves, provided they show they can act promptly and post adequate security. If that person later fails to complete the work on time or does not proceed with due diligence, the court moves forward with appointing a receiver, who then uses the posted security—and, if necessary, collected rents—to carry out the required repairs.
Plain English — not legal advice.
Under 25 Del. C. ch. 59 § 5904, a property owner who faces a court determination that a receivership petition should be granted still has an opportunity to intervene before a receiver is formally appointed. Compliant operators in this situation typically demonstrate to the court a concrete, prompt plan for remedying the cited conditions and post the security amount the court deems appropriate. Owners who take this path are generally expected to meet court-set deadlines and provide periodic progress reports, since failure to proceed with due diligence or to complete the work on schedule can result in immediate appointment of a receiver and application of the posted security toward the remediation costs.
General guidance for property managers — not legal advice for your specific situation. Consult an attorney for advice on your case.
Section 5904 of Title 25 of the Delaware Code gives tenants and other petitioners a meaningful role even after a court has found in favor of granting a receivership petition. If an owner or other interested party is allowed to stay the judgment and attempt repairs, petitioners retain the right to receive notice and to move for a hearing if there is reason to believe the work will not be completed or is not proceeding diligently. Tenants who believe an owner is not meeting court-ordered repair obligations may wish to consult a tenant-rights organization or legal aid provider familiar with Delaware housing law to understand the options available under this provision.
General guidance for tenants — not legal advice for your specific situation. Consult a tenant-rights organization or attorney for advice on your case.
Generated October 22, 2026 — auto-generated, not yet human-reviewed. See /transparency for methodology.
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