§ 4 — Debtor's schedule

New York § 4

• Jurisdiction: New York
• Law DCD: Debtor & Creditor
• Art. 2: General Assignments For the Benefit of Creditors

Text

§ 4. Debtor's schedule. 1. A debtor making an assignment shall, at the\ndate thereof or within twenty days thereafter, cause to be made, and\nfiled with the county clerk of the county where such assignment is\nrecorded, and file a duplicate thereof with the assignee, an inventory\nor schedule containing:\n (a) The name, occupation, place of residence, and place of business,\nof such debtor;\n (b) The name and place of residence of the assignee;\n (c) A full and true account of all the creditors of such debtor,\nstating the last known place of residence or business of each, if known,\nif unknown the fact to be stated, the sum owing to each, with the true\ncause and consideration therefor, and a full statement of any existing\nsecurity for the payment of the same;\n (d) A full and true inventory of all such debtor's estate at the date\nof such assignment, both real and personal, in law and in equity, with\nthe incumbrances existing thereon, and the actual value of the same\naccording to the best knowledge of such debtor; and a claim for such\nexemptions as he may be entitled to;\n (e) An affidavit made by such debtor, that the same is in all respects\njust and true.\n 2. In case such debtor shall omit, neglect or refuse to make and file\nsuch inventory or schedule within the twenty days required, the assignee\nnamed in such assignment shall, within thirty days after the date\nthereof, cause to be made, and filed as aforesaid such inventory or\nschedule as above required, in so far as he can; and for such purpose\nthe judge shall, at any time, upon the application of such assignee,\ncompel by order such delinquent debtor, and any other person to appear\nbefore him and disclose, upon oath, any knowledge or information he may\npossess, necessary to the proper making of such inventory or schedule.\nThe assignee shall verify the inventory and schedule so made by him, to\nthe effect that the same is in all respects just and true to the best of\nhis knowledge and belief.\n 3. In case the said assignee shall be unable to make and file such\ninventory or schedule, within said thirty days, the judge may, upon\napplication upon oath, showing such inability, allow him such further\ntime as shall be necessary, not exceeding sixty days. If the assignee\nfail to make and file such inventory or schedule within said thirty days\nor such further time as may be allowed, the judge shall require, by\norder, the assignee forthwith to appear before him, and show cause why\nhe should not be removed. Any person interested in the trust estate may\napply for such order and demand such removal. The books and papers of\nsuch delinquent debtor shall at all times be subject to the inspection\nand examination of any creditor. The judge is authorized, by order, to\nrequire such debtor or assignee to allow such inspection or examination.\nDisobedience to such order is a contempt, and obedience to such order\nmay be enforced by attachment.\n 4. The assignor shall comply with all lawful orders of the judge;\nexamine the correctness of all claims presented against his estate, if\nordered by the judge so to do, and if any is incorrect or false notify\nhis assignee thereof immediately; deliver to his assignee all his books,\npapers and records; execute and deliver such papers as shall be ordered\nby the judge; and execute and deliver to his assignee transfers of all\nhis property outside the state of New York. When so ordered by the\njudge, the assignor shall attend before the assignee, a referee or the\ncourt in the county where the assignor resides, and submit to an\nexamination under oath concerning the conducting of his business, the\ncause of his inability to pay his debts, his dealings with his creditors\nand other persons, the amount, kind and whereabouts of his property, and\nall matters which may affect the administration and settlement of his\nestate.\n 5. In any examination of the assignor ordered by the judge pursuant to\nsubdivision four of this section, the court may confer immunity in\naccordance with the provisions of section 50.20 of the criminal\nprocedure law; provided, however, that no immunity shall be conferred\nexcept upon twenty-four hours prior written notice to the appropriate\ndistrict attorney having an official interest therein.\n 6. The court may allow as an administrative expense one reasonable\nfee, irrespective of the number of attorneys employed, for legal\nservices rendered to the assignor in preparing the assignment and\nassisting the assignor to comply with his duties in respect of schedules\nand inventory. If a debtor, in contemplation of making a general\nassignment for the benefit of creditors, shall pay money or transfer\nproperty, directly or indirectly, to an attorney for services rendered\nor to be rendered in connection with the assignment, the transaction\nshall be reexamined by the court on petition of the assignee or any\ncreditor and shall be held valid only to the extent of a reasonable\namount to be determined by the court, and the excess may be recovered by\nthe assignee for the benefit of the estate.\n