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This entry was published on 2014-09-22
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Notice to creditors; filing or barring claims
Business Corporation (BSC) CHAPTER 4, ARTICLE 10
§ 1007. Notice to creditors; filing or barring claims.

(a) At any time after dissolution, the corporation may give a notice
requiring all creditors and claimants, including any with unliquidated
or contingent claims and any with whom the corporation has unfulfilled
contracts, to present their claims in writing and in detail at a
specified place and by a specified day, which shall not be less than six
months after the first publication of such notice. Such notice shall be
published at least once a week for two successive weeks in a newspaper
of general circulation in the county in which the office of the
corporation was located at the date of dissolution. On or before the
date of the first publication of such notice, the corporation shall mail
a copy thereof, postage prepaid and addressed to his last known address,
to each person believed to be a creditor of or claimant against the
corporation whose name and address are known to or can with due
diligence be ascertained by the corporation. The giving of such notice
shall not constitute a recognition that any person is a proper creditor
or claimant, and shall not revive or make valid, or operate as a
recognition of the validity of, or a waiver of any defense or
counterclaim in respect of any claim against the corporation, its
assets, directors, officers or shareholders, which has been barred by
any statute of limitations or become invalid by any cause, or in respect
of which the corporation, its directors, officers or shareholders, has
any defense or counterclaim.

(b) Any claims which shall have been filed as provided in such notice
and which shall be disputed by the corporation may be submitted for
determination to the supreme court under section 1008 (Jurisdiction of
supreme court to supervise dissolution and liquidation). A claim filed
by the trustee or paying agent for the holders of bonds or coupons shall
have the same effect as if filed by the holder of any such bond or
coupon. Any person whose claim is, at the date of the first publication
of such notice, barred by any statute of limitations is not a creditor
or claimant entitled to any notice under this section or section 1008.
The claim of any such person and all other claims which are not timely
filed as provided in such notice except claims which are the subject of
litigation on the date of the first publication of such notice, and all
claims which are so filed but are disallowed by the court under section
1008, shall be forever barred as against the corporation, its assets,
directors, officers and shareholders, except to such extent, if any, as
the court may allow them against any remaining assets of the corporation
in the case of a creditor who shows satisfactory reason for his failure
to file his claim as so provided. If the court requires a further notice
under section 1008, any reference to a notice in this section shall, to
the extent that the court so orders, mean such further notice, except
that a claim which has been filed in accordance with a notice under this
section need not be refiled under such further notice.

(c) Notwithstanding this section and section 1008, tax claims and
other claims of this state, of the United States and of the department
of finance of the city of New York shall not be required to be filed
under those sections, and such claims shall not be barred because not so
filed, and distribution of the assets of the corporation, or any part
thereof, may be deferred until determination of any such claims.

(d) Laborer's wages shall be preferred claims and entitled to payment
before any other creditors out of the assets of the corporation in
excess of valid prior liens or encumbrances.