N.Y. Debtor & Creditor Law § 251
Authority for committee or conservator to compromise claims
Redline — January 1, 2015 → current.View current text →
Current — January 1, 2022
As of January 1, 2015
§ 251. Authority for committee or conservator to compromise claims. A\ncourt exercising jurisdiction over the property of a mentally ill\nperson, mentally retarded person, alcohol abuser or conservatee may,\nupon the application of the committee of the property of such\nincompetent person or the conservator of the conservatee, and for good\nand sufficient cause shown, and upon such terms as it may direct,\nauthorize the committee or conservator to sell, compromise or compound\nany claim or debt belonging to the estate of the incompetent person or\nconservatee. But such authority shall not prevent any party interested\nin the trust estate, from showing upon the final accounting of such\ncommittee or conservator that such debt or claim was fraudulently or\nnegligently sold, compounded or compromised. The sale of any debt or\nclaim heretofore made in good faith by any such committee or\nconservator, shall be valid, subject, however, to the approval of the\ncourt, and the committee or conservator shall be charged with and liable\nfor, as a part of the trust fund, any sum which might or ought to have\nbeen collected by him.\n
§ 251. Authority for committee or conservator to compromise claims. A\ncourt exercising jurisdiction over the property of a person with a\nmental illness, or conservatee may, upon the application of the\ncommittee of the property of such incompetent person or the conservator\nof the conservatee, and for good and sufficient cause shown, and upon\nsuch terms as it may direct, authorize the committee or conservator to\nsell, compromise or compound any claim or debt belonging to the estate\nof the incompetent person or conservatee. But such authority shall not\nprevent any party interested in the trust estate, from showing upon the\nfinal accounting of such committee or conservator that such debt or\nclaim was fraudulently or negligently sold, compounded or compromised.\nThe sale of any debt or claim heretofore made in good faith by any such\ncommittee or conservator, shall be valid, subject, however, to the\napproval of the court, and the committee or conservator shall be charged\nwith and liable for, as a part of the trust fund, any sum which might or\nought to have been collected by him.\n
Official source: NYS Open Legislation (New York State Senate). Reproduced from public-domain New York statutes; confirm against the official source for the current text. Not legal advice.