§ 239 — Repayment of deposits of minors, trust deposits, joint deposits, and deposits adversely claimed; interpleader in certain actions; statute...

New York § 239

• Jurisdiction: New York
• Law BNK: Banking
• Art. 6: Savings Banks

Text

§ 239. Repayment of deposits of minors, trust deposits, joint\ndeposits, and deposits adversely claimed; interpleader in certain\nactions; statute of limitations. 1. Any deposit made by or in the name\nof any minor shall be held for the exclusive right and benefit of such\nminor, and free from the control or lien of all other persons, except\ncreditors, and shall be paid together with the interest credited\nthereon, to the person in whose name the deposit shall have been made,\nand the receipt or acquittance of such minor shall be a valid and\nsufficient release and discharge to the savings bank for any payment so\nmade.\n 5. Notice to any savings bank of an adverse claim to a deposit\nstanding on its books to the credit of any person shall not be effectual\nto cause such savings bank to recognize such adverse claimant unless he\nshall also either procure a restraining order, injunction or other\nappropriate process against such savings bank from a court of competent\njurisdiction in a cause therein instituted by him wherein the person to\nwhose credit the deposit stands or his executor or administrator is made\na party and served with summons, or shall execute to such savings bank,\nin form and with sureties acceptable to it a bond, indemnifying such\nsavings bank from any and all liability, loss, damage, costs and\nexpenses, for and on account of the payment of such adverse claim or the\ndishonor of the order of the person to whose credit the deposit stands\non the books of such savings bank; provided, that this section shall not\napply in any instance where the person to whose credit the deposit\nstands is a fiduciary for such adverse claimant, and the facts\nconstituting such relationship, and the facts showing reasonable cause\nfor belief on the part of such claimant that such fiduciary is about to\nmisappropriate such deposit, are made to appear by the affidavit of such\nclaimant.\n 6. (a) In all actions against any savings bank to recover moneys on\ndeposit therewith, if there be any person or persons, not parties to the\naction, who claim the same fund, the court in which the action is\npending may, on the petition of such savings bank, and upon eight days'\nnotice to the plaintiff and such claimants, and without proof as to the\nmerits of the claim, make an order amending the proceedings in the\naction by making such claimants parties defendant thereto; and the court\nshall thereupon proceed to determine the rights and interests of the\nseveral parties to the action in and to such funds. The remedy provided\nin this section shall be in addition to and not exclusive of that\nprovided in any other interpleader provision.\n (b) The funds on deposit which are the subject of such an action may\nremain with such savings bank to the credit of the action until final\njudgment therein, and be entitled to the same interest as other deposits\nof the same class, or, in the case of deposits held pursuant to\nsubdivision one-a of section two hundred thirty-four of this chapter, to\ninterest at the rate specified in the deposit contract until maturity\nand at the rate at which interest is credited on regular savings\naccounts from maturity until final judgment, and shall be paid by such\nsavings bank in accordance with the final judgment of the courts; or the\ndeposit in controversy may be paid into court to await the final\ndetermination of the action, and when the deposit is so paid into court\nsuch savings bank shall be struck out as a party to the action, and its\nliability for such deposit shall cease.\n (c) The costs in all actions against a savings bank to recover\ndeposits shall be in the discretion of the court, and may be charged\nupon the fund affected by the action.\n