§ 5234 — Distribution of proceeds of personal property; priorities

New York § 5234

• Jurisdiction: New York
• Law CVP: Civil Practice Law & Rules
• Art. 52: Enforcement of Money Judgments

Text

§ 5234. Distribution of proceeds of personal property; priorities.\n(a) Distribution of proceeds of personal property. After deduction for\nand payment of fees, expenses and any taxes levied upon sale, delivery,\ntransfer or payment, the proceeds of personal property or debt acquired\nby a receiver or a sheriff or other officer authorized to enforce the\njudgment shall be distributed to the judgment creditor and any excess\nshall be paid over to the judgment debtor. No distribution of proceeds\nshall be made until fifteen days after service of the execution except\nupon order of the court.\n (b) Priority among execution creditors. Where two or more executions\nor orders of attachment are issued against the same judgment debtor or\nobligor and delivered to the same enforcement officer or issued by the\nsupport collection unit designated by the appropriate social services\ndistrict, they shall be satisfied out of the proceeds of personal\nproperty or debt levied upon by the officer or by the support collection\nunit in the order in which they were delivered, such executions for\nchild support shall have priority over any other assignment, levy or\nprocess. Where two or more executions or orders of attachment are issued\nagainst the same judgment debtor or obligor and delivered to different\nenforcement officers, and personal property or debt is levied upon\nwithin the jurisdiction of all of the officers, the proceeds shall be\nfirst applied in satisfaction of the execution or order of attachment\ndelivered to the officer who levied, and thereafter shall be applied in\nsatisfaction of the executions or orders of attachment delivered to\nthose of the other officers who, before the proceeds are distributed,\nmake a demand upon the officer who levied, in the order of such demands,\nexcept that such executions for child support shall have priority over\nany other assignment, levy or process. Where there is more than one\npast-due child support order, the proceeds shall be applied to the\norders in proportion to the amount each order's claim bears to the\ncombined total. Nothing herein shall be deemed to defeat or impair the\nrights of any secured party as such term is defined in paragraph\nseventy-two of subsection (a) of section 9--102 of the uniform\ncommercial code. An execution or order of attachment returned by an\nofficer before a levy or delivered to him after the proceeds of the levy\nhave been distributed shall not be satisfied out of those proceeds.\n (c) Priority of other judgment creditors. Where personal property or\ndebt has been ordered delivered, transferred or paid, or a receiver\nthereof has been appointed by order, or a receivership has been extended\nthereto by order, and the order is filed before the property or debt is\nlevied upon, the rights of the judgment creditor who secured the order\nare superior to those of the judgment creditor entitled to the proceeds\nof the levy. Where two or more such orders affecting the same interest\nin personal property or debt are filed, the proceeds of the property or\ndebt shall be applied in the order of filing. Where delivery, transfer,\nor payment to the judgment creditor, a receiver, or a sheriff or other\nofficer is not completed within sixty days after an order is filed, the\njudgment creditor who secured the order is divested of priority, unless\notherwise specified in the order or in an extension order filed within\nthe sixty days.\n