1. The Laws of New York
  2. Consolidated Laws
  3. Not-For-Profit Corporation
  4. Article 12: Receivership

Section 1210 Order of payment by receiver

Not-For-Profit Corporation (NPC)

  (a) Laborers' 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.

  (b) The receiver shall subject to any prior liens or encumbrances distribute the residue of the moneys in his hands, among the creditors whose claims have been proved and allowed, as follows:

  (1) All debts due by such corporation to the United States, and all debts entitled to a preference under the laws of the United States.

  (2) All debts that may be owing by the corporation as trustee.

  (3) Judgments against the corporation, to the extent of the value of the real property on which they are liens.

  (4) All other creditors in proportion to their respective demands, without preference to specialty debts.