senate Bill S4419

2011-2012 Legislative Session

Relates to tort claims against water authorities of Erie, Suffolk, Monroe and Onondaga counties

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Archive: Last Bill Status - In Committee


  • Introduced
  • In Committee
  • On Floor Calendar
    • Passed Senate
    • Passed Assembly
  • Delivered to Governor
  • Signed/Vetoed by Governor

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Assembly Actions - Lowercase
Senate Actions - UPPERCASE
Jan 04, 2012 referred to corporations, authorities and commissions
Apr 05, 2011 referred to corporations, authorities and commissions

S4419 - Bill Details

Current Committee:
Senate Corporations, Authorities And Commissions
Law Section:
Public Authorities Law
Laws Affected:
Amd §1067, 1089, 1109 & 1169, Pub Auth L
Versions Introduced in 2009-2010 Legislative Session:
S3237

S4419 - Bill Texts

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Relates to tort claims against water authorities of Erie, Suffolk, Monroe and Onondaga counties.

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BILL NUMBER:S4419

TITLE OF BILL:

An act
to amend the public authorities law, in relation to tort claims against
certain water authorities

PURPOSE OR GENERAL IDEA OF BILL:

This bill amends the Public Authorities Law by amending §§ 1067, 1089,
1109, and 1169 to update and clarify provisions regarding tort
actions against the Erie, Suffolk, Monroe and Onondaga County water
authorities.

SUMMARY OF PROVISIONS:

Section one of the bill amends § 1067 of the Public Authorities Law
(PAL) concerning the Erie County Water Authority providing for
conforming language with regard to notices of claim, statute of
limitations, venue, primacy of claims and interest on judgments.
Section two makes the same amendments to PAL § 1089 concerning the
Suffolk County Water Authority. Section three makes the same
amendments to PAL § 1109 concerning the Monroe County Water
Authority. Section four makes the same amendments to PAL § 1089
concerning the Onondaga County Water Authority. Section five contains
the enacting clause.

JUSTIFICATION:

The bill addresses inconsistencies in the language of the enabling
statutes of the many water authorities across the state regarding
tort actions against water authorities. The Erie, Suffolk, Monroe and
Onondaga County water authorities were the first water authorities
created in New York State.
Subsequent to their creation, the statutory language of other water
authorities concerning tort actions against water authorities
included language addressing statutes of limitations, examination of
claimants pursuant to General Municipal Law §50-h, settlement,
preferences, venue, and rate of interest on judgments. This bill
conforms the tort actions language of the older water authorities to
that of the newer water authorities, ensuring uniformity throughout
the state.

FISCAL IMPLICATIONS:

None.

PRIOR LEGISLATIVE HISTORY:

2004: Passed Senate/Assembly Judiciary Cmte.
2005-06: Passed Senate/Assembly Judiciary Cmte.
2007: Passed Senate/Died in Assembly
2008: Passed Senate/Assembly Corporations, Authorities &
Commissions Cmte.
2009-10: Senate Corporations, Authorities & Commissions Cmte.


EFFECTIVE DATE:
This act shall take effect immediately.

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                    S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  4419

                       2011-2012 Regular Sessions

                            I N  S E N A T E

                              April 5, 2011
                               ___________

Introduced  by Sen. FLANAGAN -- read twice and ordered printed, and when
  printed to be committed to the Committee on Corporations,  Authorities
  and Commissions

AN  ACT  to amend the public authorities law, in relation to tort claims
  against certain water authorities

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.  Section 1067 of the public authorities law, as amended by
chapter 804 of the laws of 1990, is amended to read as follows:
  S 1067. Actions AGAINST THE AUTHORITY.  1. [In any case  founded  upon
tort a notice of claim shall be required as a condition precedent to the
commencement of an action or special proceeding against the authority or
any officer, appointee, agent or employee thereof, and the provisions of
section  fifty-e of the general municipal law shall govern the giving of
such notice.
  2. An action  against  the  authority  for  wrongful  death  shall  be
commenced  in  accordance  with  the notice of claim and time limitation
provisions of title eleven of article nine of this chapter] EXCEPT IN AN
ACTION FOR WRONGFUL DEATH, NO ACTION  OR  SPECIAL  PROCEEDING  SHALL  BE
PROSECUTED  OR  MAINTAINED  AGAINST THE AUTHORITY FOR PERSONAL INJURY OR
DAMAGE TO REAL OR PERSONAL PROPERTY ALLEGED TO HAVE  BEEN  SUSTAINED  BY
REASON OF THE NEGLIGENCE OR WRONGFUL ACT OF THE AUTHORITY OR ANY MEMBER,
OFFICER, AGENT OR EMPLOYEE THEREOF, UNLESS:
  (A) A NOTICE OF CLAIM SHALL HAVE BEEN MADE AND SERVED UPON THE AUTHOR-
ITY  WITHIN  THE TIME LIMIT BY AND IN COMPLIANCE WITH SECTION FIFTY-E OF
THE GENERAL MUNICIPAL LAW;
  (B) IT SHALL APPEAR BY AND AS AN ALLEGATION IN THE COMPLAINT OR MOVING
PAPERS THAT AT LEAST THIRTY DAYS HAVE ELAPSED SINCE THE SERVICE OF  SUCH
NOTICE  AND  THAT  ADJUSTMENT  OR  PAYMENT THEREOF HAS BEEN NEGLECTED OR
REFUSED; AND

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD05229-02-1

S. 4419                             2

  (C) THE ACTION OR SPECIAL PROCEEDING SHALL  BE  COMMENCED  WITHIN  ONE
YEAR  AND  NINETY  DAYS  AFTER THE HAPPENING OF THE EVENT UPON WHICH THE
CLAIM IS BASED. AN ACTION AGAINST THE AUTHORITY FOR WRONGFUL DEATH SHALL
BE COMMENCED IN ACCORDANCE WITH THE NOTICE OF CLAIM AND TIME  LIMITATION
PROVISIONS OF TITLE ELEVEN OF ARTICLE NINE OF THIS CHAPTER.
  2.  WHEREVER  A NOTICE OF CLAIM IS SERVED UPON THE AUTHORITY, IT SHALL
HAVE THE RIGHT TO DEMAND AN EXAMINATION OF THE CLAIMANT RELATIVE TO  THE
OCCURRENCE  AND  EXTENT  OF  THE  INJURIES OR DAMAGES FOR WHICH CLAIM IS
MADE, IN ACCORDANCE WITH THE PROVISIONS OF SECTION FIFTY-H OF THE GENER-
AL MUNICIPAL LAW.
  3. THE AUTHORITY MAY REQUIRE ANY PERSON PRESENTING FOR  SETTLEMENT  AN
ACCOUNT  OR  CLAIM  FOR  ANY  CAUSE WHATEVER AGAINST THE AUTHORITY TO BE
SWORN BEFORE A MEMBER, COUNSEL, OR  AN  ATTORNEY,  OFFICER  OR  EMPLOYEE
THEREOF  DESIGNATED  FOR  SUCH PURPOSE, CONCERNING SUCH ACCOUNT OR CLAIM
AND WHEN SO SWORN, TO ANSWER ORALLY AS TO ANY  FACTS  RELATIVE  TO  SUCH
ACCOUNT OR CLAIM. THE AUTHORITY SHALL HAVE THE POWER TO SETTLE OR ADJUST
ALL CLAIMS IN FAVOR OF OR AGAINST THE AUTHORITY.
  4. AN ACTION OR PROCEEDING TO WHICH THE AUTHORITY OR THE PEOPLE OF THE
STATE MAY BE PARTIES, IN WHICH ANY QUESTION ARISES AS TO THE VALIDITY OF
THIS  TITLE, SHALL BE PREFERRED OVER ALL OTHER CIVIL CAUSES OF ACTION OR
CASES, EXCEPT ELECTION CAUSES OF ACTION OR CASES, IN ALL COURTS  OF  THE
STATE AND SHALL BE HEARD AND DETERMINED IN PREFERENCE TO ALL OTHER CIVIL
BUSINESS  PENDING  THEREIN EXCEPT ELECTION CAUSES, IRRESPECTIVE OF POSI-
TION ON THE CALENDAR. THE SAME PREFERENCE SHALL BE GRANTED UPON APPLICA-
TION OF THE AUTHORITY OR ITS COUNSEL IN ANY ACTION OR  PROCEEDING  QUES-
TIONING THE VALIDITY OF THIS TITLE IN WHICH THE AUTHORITY MAY BE ALLOWED
TO  INTERVENE.  THE VENUE OF ANY SUCH ACTION OR PROCEEDING SHALL BE LAID
IN THE SUPREME COURT OF THE COUNTY.
  5. THE RATE OF INTEREST TO BE PAID BY THE AUTHORITY UPON ANY  JUDGMENT
FOR  WHICH  IT IS LIABLE, OTHER THAN A JUDGMENT AGAINST THE AUTHORITY ON
BONDS, SHALL BE THE RATE PRESCRIBED BY SECTION FIVE THOUSAND FOUR OF THE
CIVIL PRACTICE LAW AND RULES.  INTEREST  ON  PAYMENTS  OF  PRINCIPAL  OR
INTEREST  ON  ANY BONDS IN DEFAULT SHALL ACCRUE AT THE RATE OR RATES SET
FORTH IN SUCH BONDS FROM THE DUE DATE THEREOF UNTIL  PAID  OR  OTHERWISE
SATISFIED.
  S 2. Section 1089 of the public authorities law, as amended by chapter
804 of the laws of 1990, is amended to read as follows:
  S  1089.  Actions AGAINST THE AUTHORITY.  1. [In any case founded upon
tort a notice of claim shall be required as a condition precedent to the
commencement of an action or special proceeding against the authority or
any officer, appointee  or  employee  thereof,  and  the  provisions  of
section  fifty-e of the general municipal law shall govern the giving of
such notice.
  2. An action  against  the  authority  for  wrongful  death  shall  be
commenced  in  accordance  with  the notice of claim and time limitation
provisions of title eleven of article nine of this chapter] EXCEPT IN AN
ACTION FOR WRONGFUL DEATH, NO ACTION  OR  SPECIAL  PROCEEDING  SHALL  BE
PROSECUTED  OR  MAINTAINED  AGAINST THE AUTHORITY FOR PERSONAL INJURY OR
DAMAGE TO REAL OR PERSONAL PROPERTY ALLEGED TO HAVE  BEEN  SUSTAINED  BY
REASON OF THE NEGLIGENCE OR WRONGFUL ACT OF THE AUTHORITY OR ANY MEMBER,
OFFICER, AGENT OR EMPLOYEE THEREOF, UNLESS;
  (A) A NOTICE OF CLAIM SHALL HAVE BEEN MADE AND SERVED UPON THE AUTHOR-
ITY  WITHIN  THE TIME LIMIT BY AND IN COMPLIANCE WITH SECTION FIFTY-E OF
THE GENERAL MUNICIPAL LAW;
  (B) IT SHALL APPEAR BY AND AS AN ALLEGATION IN THE COMPLAINT OR MOVING
PAPERS THAT AT LEAST THIRTY DAYS HAVE ELAPSED SINCE THE SERVICE OF  SUCH

S. 4419                             3

NOTICE  AND  THAT  ADJUSTMENT  OF  PAYMENT THEREOF HAS BEEN NEGLECTED OR
REFUSED; AND
  (C)  THE  ACTION  OR  SPECIAL PROCEEDING SHALL BE COMMENCED WITHIN ONE
YEAR AND NINETY DAYS AFTER THE HAPPENING OF THE  EVENT  UPON  WHICH  THE
CLAIM IS BASED. AN ACTION AGAINST THE AUTHORITY FOR WRONGFUL DEATH SHALL
BE  COMMENCED IN ACCORDANCE WITH THE NOTICE OF CLAIM AND TIME LIMITATION
PROVISIONS OF TITLE ELEVEN OF ARTICLE NINE OF THIS CHAPTER.
  2. WHEREVER A NOTICE OF CLAIM IS SERVED UPON THE AUTHORITY,  IT  SHALL
HAVE  THE RIGHT TO DEMAND AN EXAMINATION OF THE CLAIMANT RELATIVE TO THE
OCCURRENCE AND EXTENT OF THE INJURIES OR  DAMAGES  FOR  WHICH  CLAIM  IS
MADE, IN ACCORDANCE WITH THE PROVISIONS OF SECTION FIFTY-H OF THE GENER-
AL MUNICIPAL LAW.
  3.  THE  AUTHORITY MAY REQUIRE ANY PERSON PRESENTING FOR SETTLEMENT AN
ACCOUNT OR CLAIM FOR ANY CAUSE WHATEVER  AGAINST  THE  AUTHORITY  TO  BE
SWORN  BEFORE  A  MEMBER,  COUNSEL,  OR AN ATTORNEY, OFFICER OR EMPLOYEE
THEREOF DESIGNATED FOR SUCH PURPOSE, CONCERNING SUCH  ACCOUNT  OR  CLAIM
AND  WHEN  SO  SWORN,  TO ANSWER ORALLY AS TO ANY FACTS RELATIVE TO SUCH
ACCOUNT OR CLAIM. THE AUTHORITY SHALL HAVE THE POWER TO SETTLE OR ADJUST
ALL CLAIMS IN FAVOR OF OR AGAINST THE AUTHORITY.
  4. AN ACTION OR PROCEEDING TO WHICH THE AUTHORITY OR THE PEOPLE OF THE
STATE MAY BE PARTIES, IN WHICH ANY QUESTION ARISES AS TO THE VALIDITY OF
THIS TITLE, SHALL BE PREFERRED OVER ALL OTHER CIVIL CAUSES OF ACTION  OR
CASES,  EXCEPT  ELECTION CAUSES OF ACTION OR CASES, IN ALL COURTS OF THE
STATE AND SHALL BE HEARD AND DETERMINED IN PREFERENCE TO ALL OTHER CIVIL
BUSINESS PENDING THEREIN EXCEPT ELECTION CAUSES, IRRESPECTIVE  OF  POSI-
TION ON THE CALENDAR. THE SAME PREFERENCE SHALL BE GRANTED UPON APPLICA-
TION  OF  THE AUTHORITY OR ITS COUNSEL IN ANY ACTION OR PROCEEDING QUES-
TIONING THE VALIDITY OF THIS TITLE IN WHICH THE AUTHORITY MAY BE ALLOWED
TO INTERVENE. THE VENUE OF ANY SUCH ACTION OR PROCEEDING SHALL  BE  LAID
IN THE SUPREME COURT OF THE COUNTY.
  5.  THE RATE OF INTEREST TO BE PAID BY THE AUTHORITY UPON ANY JUDGMENT
FOR WHICH IT IS LIABLE, OTHER THAN A JUDGMENT AGAINST THE  AUTHORITY  ON
BONDS, SHALL BE THE RATE PRESCRIBED BY SECTION FIVE THOUSAND FOUR OF THE
CIVIL  PRACTICE  LAW  AND  RULES.  INTEREST  ON PAYMENTS OF PRINCIPAL OR
INTEREST ON ANY BONDS IN DEFAULT SHALL ACCRUE AT THE RATE OR  RATES  SET
FORTH  IN  SUCH  BONDS FROM THE DUE DATE THEREOF UNTIL PAID OR OTHERWISE
SATISFIED.
  S 3. Section 1109 of the public authorities law, as amended by chapter
804 of the laws of 1990, is amended to read as follows:
  S 1109. Actions AGAINST THE AUTHORITY.  1. [In any case  founded  upon
tort a notice of claim shall be required as a condition precedent to the
commencement of an action or special proceeding against the authority or
any  officer,  appointee  or  employee  thereof,  and  the provisions of
section fifty-e of the general municipal law shall govern the giving  of
such notice.
  2.  An  action  against  the  authority  for  wrongful  death shall be
commenced in accordance with the notice of  claim  and  time  limitation
provisions of title eleven of article nine of this chapter] EXCEPT IN AN
ACTION  FOR  WRONGFUL  DEATH,  NO  ACTION OR SPECIAL PROCEEDING SHALL BE
PROSECUTED OR MAINTAINED AGAINST THE AUTHORITY FOR  PERSONAL  INJURY  OR
DAMAGE  TO  REAL  OR PERSONAL PROPERTY ALLEGED TO HAVE BEEN SUSTAINED BY
REASON OF THE NEGLIGENCE OR WRONGFUL ACT OF THE AUTHORITY OR ANY MEMBER,
OFFICER, AGENT OR EMPLOYEE THEREOF, UNLESS:
  (A) A NOTICE OF CLAIM SHALL HAVE BEEN MADE AND SERVED UPON THE AUTHOR-
ITY WITHIN THE TIME LIMIT BY AND IN COMPLIANCE WITH SECTION  FIFTY-E  OF
THE GENERAL MUNICIPAL LAW;

S. 4419                             4

  (B) IT SHALL APPEAR BY AND AS AN ALLEGATION IN THE COMPLAINT OR MOVING
PAPERS  THAT AT LEAST THIRTY DAYS HAVE ELAPSED SINCE THE SERVICE OF SUCH
NOTICE AND THAT ADJUSTMENT OR PAYMENT  THEREOF  HAS  BEEN  NEGLECTED  OR
REFUSED; AND
  (C)  THE  ACTION  OR  SPECIAL PROCEEDING SHALL BE COMMENCED WITHIN ONE
YEAR AND NINETY DAYS AFTER THE HAPPENING OF THE  EVENT  UPON  WHICH  THE
CLAIM IS BASED. AN ACTION AGAINST THE AUTHORITY FOR WRONGFUL DEATH SHALL
BE  COMMENCED IN ACCORDANCE WITH THE NOTICE OF CLAIM AND TIME LIMITATION
PROVISIONS OF TITLE ELEVEN OF ARTICLE NINE OF THIS CHAPTER.
  2. WHEREVER A NOTICE OF CLAIM IS SERVED UPON THE AUTHORITY,  IT  SHALL
HAVE  THE RIGHT TO DEMAND AN EXAMINATION OF THE CLAIMANT RELATIVE TO THE
OCCURRENCE AND EXTENT OF THE INJURIES OR  DAMAGES  FOR  WHICH  CLAIM  IS
MADE, IN ACCORDANCE WITH THE PROVISIONS OF SECTION FIFTY-H OF THE GENER-
AL MUNICIPAL LAW.
  3.  THE  AUTHORITY MAY REQUIRE ANY PERSON PRESENTING FOR SETTLEMENT AN
ACCOUNT OR CLAIM FOR ANY CAUSE WHATEVER  AGAINST  THE  AUTHORITY  TO  BE
SWORN  BEFORE  A  MEMBER,  COUNSEL,  OR AN ATTORNEY, OFFICER OR EMPLOYEE
THEREOF DESIGNATED FOR SUCH PURPOSE, CONCERNING SUCH  ACCOUNT  OR  CLAIM
AND  WHEN  SO  SWORN,  TO ANSWER ORALLY AS TO ANY FACTS RELATIVE TO SUCH
ACCOUNT OR CLAIM. THE AUTHORITY SHALL HAVE THE POWER TO SETTLE OR ADJUST
ALL CLAIMS IN FAVOR OF OR AGAINST THE AUTHORITY.
  4. AN ACTION OR PROCEEDING TO WHICH THE AUTHORITY OR THE PEOPLE OF THE
STATE MAY BE PARTIES, IN WHICH ANY QUESTION ARISES AS TO THE VALIDITY OF
THIS TITLE, SHALL BE PREFERRED OVER ALL OTHER CIVIL CAUSES OF CAUTION OR
CASES, EXCEPT ELECTION CAUSES OF ACTION OR CASES, IN ALL COURTS  OF  THE
STATE  AND SHALL BE HEARD AND DETERMINE IN PREFERENCE TO ALL OTHER CIVIL
BUSINESS PENDING THEREIN EXCEPT ELECTION CAUSES, IRRESPECTIVE  OF  POSI-
TION ON THE CALENDAR. THE SAME PREFERENCE SHALL BE GRANTED UPON APPLICA-
TION  OF  THE AUTHORITY OR ITS COUNSEL IN ANY ACTION OR PROCEEDING QUES-
TIONING THE VALIDITY OF THIS TITLE IN WHICH THE AUTHORITY MAY BE ALLOWED
TO INTERVENE. THE VENUE OF ANY SUCH ACTION OR PROCEEDING SHALL  BE  LAID
IN THE SUPREME COURT OF THE COUNTY.
  5.  THE RATE OF INTEREST TO BE PAID BY THE AUTHORITY UPON ANY JUDGMENT
FOR WHICH IT IS LIABLE, OTHER THAN A JUDGMENT AGAINST THE  AUTHORITY  ON
BONDS, SHALL BE THE RATE PRESCRIBED BY SECTION FIVE THOUSAND FOUR OF THE
CIVIL  PRACTICE  LAW  AND  RULES.  INTEREST  ON PAYMENTS OF PRINCIPAL OR
INTEREST ON ANY BONDS IN DEFAULT SHALL ACCRUE AT THE RATE OR  RATES  SET
FORTH  IN  SUCH  BONDS FROM THE DUE DATE THEREOF UNTIL PAID OR OTHERWISE
SATISFIED.
  S 4. Section 1169 of the public authorities law, as amended by chapter
804 of the laws of 1990, is amended to read as follows:
  S 1169. Actions AGAINST THE AUTHORITY.  1. [In any case  founded  upon
tort a notice of claim shall be required as a condition precedent to the
commencement of an action or special proceeding against the authority or
any  officer,  appointee  or  employee  thereof,  and  the provisions of
section fifty-e of the general municipal law shall govern the giving  of
such notice.
  2.  An  action  against  the  authority  for  wrongful  death shall be
commenced in accordance with the notice of  claim  and  time  limitation
provisions of title eleven of article nine of this chapter] EXCEPT IN AN
ACTION  FOR  WRONGFUL  DEATH,  NO  ACTION OR SPECIAL PROCEEDING SHALL BE
PROSECUTED OR MAINTAINED AGAINST THE AUTHORITY FOR  PERSONAL  INJURY  OR
DAMAGE  TO  REAL  OR PERSONAL PROPERTY ALLEGED TO HAVE BEEN SUSTAINED BY
REASON OF THE NEGLIGENCE OR WRONGFUL ACT OF THE AUTHORITY OR ANY MEMBER,
OFFICER, AGENT OR EMPLOYEE THEREOF, UNLESS:

S. 4419                             5

  (A) A NOTICE OF CLAIM SHALL HAVE BEEN MADE AND SERVED UPON THE AUTHOR-
ITY WITHIN THE TIME LIMIT BY AND IN COMPLIANCE WITH SECTION  FIFTY-E  OF
THE GENERAL MUNICIPAL LAW;
  (B) IT SHALL APPEAR BY AND AS AN ALLEGATION IN THE COMPLAINT OR MOVING
PAPERS  THAT AT LEAST THIRTY DAYS HAVE ELAPSED SINCE THE SERVICE OF SUCH
NOTICE AND THAT ADJUSTMENT OR PAYMENT  THEREOF  HAS  BEEN  NEGLECTED  OR
REFUSED; AND
  (C)  THE  ACTION  OR  SPECIAL PROCEEDING SHALL BE COMMENCED WITHIN ONE
YEAR AND NINETY DAYS AFTER THE HAPPENING OF THE  EVENT  UPON  WHICH  THE
CLAIM IS BASED. AN ACTION AGAINST THE AUTHORITY FOR WRONGFUL DEATH SHALL
BE  COMMENCED IN ACCORDANCE WITH THE NOTICE OF CLAIM AND TIME LIMITATION
PROVISIONS OF TITLE ELEVEN OF ARTICLE NINE OF THIS CHAPTER.
  2. WHEREVER A NOTICE OF CLAIM IS SERVED UPON THE AUTHORITY,  IT  SHALL
HAVE  THE RIGHT TO DEMAND AN EXAMINATION OF THE CLAIMANT RELATIVE TO THE
OCCURRENCE AND EXTENT OF THE INJURIES OR  DAMAGES  FOR  WHICH  CLAIM  IS
MADE, IN ACCORDANCE WITH THE PROVISIONS OF SECTION FIFTY-H OF THE GENER-
AL MUNICIPAL LAW.
  3.  THE  AUTHORITY MAY REQUIRE ANY PERSON PRESENTING FOR SETTLEMENT AN
ACCOUNT OR CLAIM FOR ANY CAUSE WHATEVER  AGAINST  THE  AUTHORITY  TO  BE
SWORN  BEFORE  A  MEMBER,  COUNSEL,  OR AN ATTORNEY, OFFICER OR EMPLOYEE
THEREOF DESIGNATED FOR SUCH PURPOSE, CONCERNING SUCH  ACCOUNT  OR  CLAIM
AND  WHEN  SO  SWORN,  TO ANSWER ORALLY AS TO ANY FACTS RELATIVE TO SUCH
ACCOUNT OR CLAIM. THE AUTHORITY SHALL HAVE THE POWER TO SETTLE OR ADJUST
ALL CLAIMS IN FAVOR OF OR AGAINST THE AUTHORITY.
  4. AN ACTION OR PROCEEDING TO WHICH THE AUTHORITY OR THE PEOPLE OF THE
STATE MAY BE PARTIES, IN WHICH ANY QUESTION ARISES AS TO THE VALIDITY OF
THIS TITLE, SHALL BE PREFERRED OVER ALL OTHER CIVIL CAUSES OF ACTION  OR
CASES,  EXCEPT  ELECTION CAUSES OF ACTION OR CASES, IN ALL COURTS OF THE
STATE AND SHALL BE HEARD AND DETERMINED IN PREFERENCE TO ALL OTHER CIVIL
BUSINESS PENDING THEREIN EXCEPT ELECTION CAUSES, IRRESPECTIVE  OF  POSI-
TION ON THE CALENDAR. THE SAME PREFERENCE SHALL BE GRANTED UPON APPLICA-
TION  OF  THE AUTHORITY OR ITS COUNSEL IN ANY ACTION OR PROCEEDING QUES-
TIONING THE VALIDITY OF THIS TITLE IN WHICH THE AUTHORITY MAY BE ALLOWED
TO INTERVENE. THE VENUE OF ANY SUCH ACTION OR PROCEEDING SHALL  BE  LAID
IN THE SUPREME COURT OF THE COUNTY.
  5.  THE RATE OF INTEREST TO BE PAID BY THE AUTHORITY UPON ANY JUDGMENT
FOR WHICH IT IS LIABLE, OTHER THAN A JUDGMENT AGAINST THE  AUTHORITY  ON
BONDS, SHALL BE THE RATE PRESCRIBED BY SECTION FIVE THOUSAND FOUR OF THE
CIVIL  PRACTICE  LAW  AND  RULES.  INTEREST  ON PAYMENTS OF PRINCIPAL OR
INTEREST ON ANY BONDS IN DEFAULT SHALL ACCRUE AT THE RATE OR  RATES  SET
FORTH  IN  SUCH  BONDS FROM THE DUE DATE THEREOF UNTIL PAID OR OTHERWISE
SATISFIED.
  S 5. This act shall take effect immediately.

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