N.Y. Debtor & Creditor Law § 252

§ 252. Payment by committee or conservator of claims. A committee of\nthe property of a person, incompetent by reason of mental illness, a\ndevelopmental disability or alcohol abuse, to manage his or her affairs,\nor a conservator of the property of a conservatee, may, under direction\nof the court exercising jurisdiction of such estate, after payment of\nthe expenses, disbursements and commissions of such trust, apply so much\nof the funds and property of said estate remaining in his or her hands\nas such committee or conservator, as may be necessary to pay and\ndischarge the proper claims of creditors who have presented claims\npursuant to the notice in this article provided for, to the payment of\nsuch claims, and if the property so remaining be insufficient to pay\nsuch claims in full, then the committee or conservator may distribute\nthe same according to law among the creditors who have presented and\nproved their claims as in this article provided, and such payment, when\nso made in good faith and under direction of such court, shall relieve\nsuch committee or conservator and his or her sureties from liability to\ncreditors who have failed to present their claims as in this article\nprovided.\n