S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  8295--A
 
                        2025-2026 Regular Sessions
 
                             I N  S E N A T E
 
                               May 30, 2025
                                ___________
 
 Introduced by Sen. SEPULVEDA -- read twice and ordered printed, and when
   printed  to  be  committed  to the Committee on Judiciary -- committee
   discharged, bill amended, ordered reprinted as amended and recommitted
   to said committee
 
 AN ACT to amend the surrogate's court  procedure  act,  in  relation  to
   requiring  all  letters  granted  to  personal representatives contain
   certain restrictions
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1. Section 702 of the surrogate's court procedure act, subdi-
 vision 2 as amended by chapter 685 of the laws of 1967,  subdivisions  8
 and  9  as added, subdivision 10 as renumbered and the closing paragraph
 as amended by chapter 514 of the laws of 1993, is  amended  to  read  as
 follows:
 § 702. Limited and restrictive letters
   1.  LETTERS  GRANTED TO A PERSONAL REPRESENTATIVE, OR AN ADMINISTRATOR
 APPOINTED UNDER SECTION 5-4.1 OF THE  ESTATES,  POWERS  AND  TRUSTS  LAW
 SHALL RESTRAIN THE HOLDER THEREOF FROM COMPROMISE OF ANY CAUSE OF ACTION
 ARISING  FROM THE DEATH OF THE DECEDENT OR THE ENFORCEMENT OF A JUDGMENT
 RECOVERED THEREIN UNTIL FURTHER ORDER OF THE COURT.
   2. Letters may be granted limiting  and  restricting  the  powers  and
 rights of the holder thereof:
   [1.]  (A)  To  the  enforcement or prosecution of a cause of action in
 favor of the decedent or [his] SUCH DECEDENT'S fiduciary  under  general
 or  special  provisions  of law, to the defense of any claim or cause of
 action against a  decedent  or  [his]  SUCH  DECEDENT'S  fiduciary,  and
 restraining  the fiduciary from compromise of the action or the enforce-
 ment of a judgment recovered therein until  the  further  order  of  the
 court and the filing of satisfactory security if required.
   [2.]  (B)  Where it is impracticable to give a bond in the full amount
 required by statute, to receiving and administering  only  the  property
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
                                                            LBD11973-02-5
              

 S. 8295--A                          2
 
 which  the  court  may  specify,  and restraining [him] SUCH HOLDER from
 receiving or administering other property until  further  order  of  the
 court.
   [3.]  (C)  To the adjustment, settlement, satisfaction or discharge of
 any claim in favor of or against the decedent or [his]  SUCH  DECEDENT'S
 fiduciary.
   [4.]  (D) To the performance of any act required in order to discharge
 the estate of a decedent from liability.
   [5.] (E) To an account in behalf of the decedent for  the  performance
 by [him] SUCH DECENT AS FIDUCIARY of any trust or other responsibility.
   [6.] (F) To the completion of any transfer made by a decedent or [his]
 SUCH  DECEDENT'S  fiduciary  and  to  the  execution  of any instruments
 confirming any transfer so made.
   [7.] (G) To the appearance in and conduct of  an  action  in  which  a
 decedent  or  [his]  SUCH  DECEDENT'S fiduciary is a necessary or proper
 party.
   [8.] (H) In the discretion of the court, to represent the estate in  a
 transaction in which the acting fiduciary could not or should not act in
 [his or her] THEIR fiduciary capacity because of conflict of interest.
   [9.] (I) To commence and maintain any action or proceeding against the
 fiduciary,  in  [his  or  her]  SUCH FIDUCIARY'S individual capacity, or
 against anyone else against whom the fiduciary fails or refuses to bring
 such a proceeding.
   [10.] (J) To any other purpose or act deemed by the court to be appro-
 priate or necessary in  respect  of  the  affairs  of  the  estate,  the
 protection thereof or to the proper administration thereof.
   3.  In  any case where limited and restrictive letters are granted the
 court may reduce the amount of security otherwise required  or  dispense
 therewith according to the circumstances.
   4. Any letters may contain appropriate recitals restraining the holder
 from  doing any such acts or exercising any such powers as may be speci-
 fied therein until the further order of the court and upon  the  filing,
 if  ordered,  of  satisfactory  security.  The  issuance  of  limited or
 restrictive letters under this section may be in addition to  the  issu-
 ance of general letters or other, limited or restrictive letters.
   § 2. This act shall take effect immediately.