N.Y. C.P.L.R. 6214

§ 6214. Levy upon personal property by service of order. (a) Method of\nlevy. The sheriff shall levy upon any interest of the defendant in\npersonal property, or upon any debt owed to the defendant, by serving a\ncopy of the order of attachment upon the garnishee, or upon the\ndefendant if property to be levied upon is in the defendant's possession\nor custody, in the same manner as a summons except that such service\nshall not be made by delivery of a copy to a person authorized to\nreceive service of summons solely by a designation filed pursuant to a\nprovision of law other than rule 318.\n (b) Effect of levy; prohibition of transfer. A levy by service of an\norder of attachment upon a person other than the defendant is effective\nonly if, at the time of service, such person owes a debt to the\ndefendant or such person is in the possession or custody of property in\nwhich such person knows or has reason to believe the defendant has an\ninterest, or if the plaintiff has stated in a notice which shall be\nserved with the order that a specified debt is owed by the person served\nto the defendant or that the defendant has an interest in specified\nproperty in the possession or custody of the person served. All property\nin which the defendant is known or believed to have an interest then in\nand thereafter coming into the possession or custody of such a person,\nincluding any specified in the notice, and all debts of such a person,\nincluding any specified in the notice, then due and thereafter coming\ndue to the defendant, shall be subject to the levy. Unless the court\norders otherwise, the person served with the order shall forthwith\ntransfer or deliver all such property, and pay all such debts upon\nmaturity, up to the amount specified in the order of attachment, to the\nsheriff and execute any document necessary to effect the payment,\ntransfer or delivery. After such payment, transfer or delivery, property\ncoming into the possession or custody of the garnishee, or debt incurred\nby him, shall not be subject to the levy. Until such payment, transfer\nor delivery is made, or until the expiration of ninety days after the\nservice of the order of attachment upon him, or of such further time as\nis provided by any subsequent order of the court served upon him,\nwhichever event first occurs, the garnishee is forbidden to make or\nsuffer any sale, assignment or transfer of, or any interference with any\nsuch property, or pay over or otherwise dispose of any such debt, to any\nperson other than the sheriff, except upon direction of the sheriff or\npursuant to an order of the court. A garnishee, however, may collect or\nredeem an instrument received by him for such purpose and he may sell or\ntransfer in good faith property held as collateral or otherwise pursuant\nto pledge thereof or at the direction of any person other than the\ndefendant authorized to direct sale or transfer, provided that the\nproceeds in which the defendant has an interest be retained subject to\nthe levy. A plaintiff who has specified personal property or debt to be\nlevied upon in a notice served with an order of attachment shall be\nliable to the owner of the property or the person to whom the debt is\nowed, if other than the defendant, for any damages sustained by reason\nof the levy.\n (c) Seizure by sheriff; notice of satisfaction. Where property or\ndebts have been levied upon by service of an order of attachment, the\nsheriff shall take into his actual custody all such property capable of\ndelivery and shall collect and receive all such debts. When the sheriff\nhas taken into his actual custody property or debts having value\nsufficient to satisfy the amount specified in the order of attachment,\nthe sheriff shall notify the defendant and each person upon whom the\norder of attachment was served that the order of attachment has been\nfully executed.\n (d) Proceeding to compel payment or delivery. Where property or debts\nhave been levied upon by service of an order of attachment, the\nplaintiff may commence a special proceeding against the garnishee served\nwith the order to compel the payment, delivery or transfer to the\nsheriff of such property or debts, or to secure a judgment against the\ngarnishee. Notice of petition shall also be served upon the parties to\nthe action and the sheriff. A garnishee may interpose any defense or\ncounterclaim which he might have interposed against the defendant if\nsued by him. The court may permit any adverse claimant to intervene in\nthe proceeding and may determine his rights in accordance with section\n6221.\n (e) Failure to proceed. At the expiration of ninety days after a levy\nis made by service of the order of attachment, or of such further time\nas the court, upon motion of the plaintiff on notice to the parties to\nthe action, has provided, the levy shall be void except as to property\nor debts which the sheriff has taken into his actual custody, collected\nor received or as to which a proceeding under subdivision (d) has been\ncommenced.\n