N.Y.
Public Authorities Law Section 210
Rights and remedies of creditors
1.
All real and personal property, including fees and revenues of the authority and debts owing to it are exempt from levy and sale by virtue of an execution and no execution or other judicial process shall issue against the same. No judgment against the authority shall be a charge upon real property or chattels real of the authority. This clause shall not limit the rights of mortgagees and pledgees to enforce their lien or other rights by any appropriate suit, action or proceeding.2.
Any purchaser at a sale of property of the authority pursuant to a judgment in an action to foreclose a mortgage thereon shall obtain title free from any trust or other obligation to operate or maintain such property as a public park or public recreation center and free from any obligation to the public or the state as to its use or disposition.3.
Any creditor of the authority, including a trustee for bondholders, shall have the right, subject to any contractual limitations binding upon such creditor or trustee, and subject to the prior or superior rights of others, (a) by suit, action or special proceeding, to enforce his rights against the authority and the board, including the right to require the authority and the board to collect fees and revenues adequate to carry out any agreement as to, or pledge of, such fees and revenues and to require the authority and the board to carry out any other covenants and agreements and to perform its and their duties under this title;(b)
by action or suit in equity to require the authority to account as if it were the trustee of an express trust;(c)
by action or suit in equity to enjoin any acts or things which may be unlawful or in violation of the rights of such creditor;(d)
in the discretion of the court to the appointment of a receiver of the property of the authority or any part or parts thereof, who may enter and take possession of the property of the authority or any part or parts thereof, and operate and maintain the same and collect and receive all fees, rentals and other revenues thereafter arising therefrom in the same manner as the authority itself might do, and shall deposit all such moneys in a separate account and apply the same in accordance with the obligations of the authority as the court shall direct. The authority may give the holders of its bonds or any trustee for their benefit by agreement the right to the appointment of a receiver. * NB (Abolished in 1975)
Source:
Section 210 — Rights and remedies of creditors, https://www.nysenate.gov/legislation/laws/PBA/210 (updated Sep. 22, 2014; accessed Oct. 26, 2024).
