NY State — NY Real Property Actions & Proceedings Law

§ 971 — SECTION 971 Security for refund

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Statute text reproduced from nysenate.gov. Not attorney-reviewed for your situation — for reference only.

What is NY RPAPL § 971?

Quick Answer

This section allows a court to require a person to provide security before receiving proceeds from a sale. The security is held to ensure that funds can be refunded if it is determined that the person was not entitled to the proceeds. Applies to individuals involved in property sales and distributions.

General informational summary. Not legal advice for your situation. Consult an attorney before acting on any specific matter.

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§ 971 SECTION 971 Security for refund

RPAPL § 971

The court, in its discretion, may require any person, before he receives his portion of the proceeds of the sale to give such security as it directs, to the state, or the county treasurer, who shall hold it for the use and benefit of the persons interested, or to such parties or other persons as it prescribes, to refund the same, or a portion thereof, with interest, if it thereafter appears that he was not entitled thereto.

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