N.Y. CVP. LAW § 5205 : NY Code - Section 5205: Personal property exempt from application to the satisfaction of money judgments

Search N.Y. CVP. LAW § 5205 : NY Code - Section 5205: Personal property exempt from application to the satisfaction of money judgments

(a) Exemption for personal property.  The  following
  personal property when owned by any person is exempt from application to
  the  satisfaction  of  a money judgment except where the judgment is for
  the purchase price  of  the  exempt  property  or  was  recovered  by  a
  domestic,  laboring person or mechanic for work performed by that person
  in such capacity:
    1. all stoves kept for use in the judgment debtor's dwelling house and
  necessary fuel therefor for sixty days;  one  sewing  machine  with  its
  appurtenances;
    2.  the  family  bible,  family pictures, and school books used by the
  judgment debtor or in the family; and other books, not  exceeding  fifty
  dollars  in  value,  kept  and  used  as  part of the family or judgment
  debtor's library;
    3. a seat or pew occupied by the judgment debtor or the  family  in  a
  place of public worship;
    4.  domestic  animals  with  the  necessary food for those animals for
  sixty days, provided that the total value of such animals and food  does
  not  exceed  four  hundred  fifty  dollars;  all necessary food actually
  provided for the use of the judgment debtor  or  his  family  for  sixty
  days;
    5.  all  wearing  apparel, household furniture, one mechanical, gas or
  electric refrigerator, one radio receiver, one television set, crockery,
  tableware and cooking utensils necessary for the judgment debtor and the
  family;
    6. a wedding ring; a watch not exceeding thirty-five dollars in value;
  and
    7. necessary working  tools  and  implements,  including  those  of  a
  mechanic,  farm machinery, team, professional instruments, furniture and
  library, not exceeding six hundred dollars in value, together  with  the
  necessary  food for the team for sixty days, provided, however, that the
  articles specified in this paragraph are necessary to the carrying on of
  the judgment debtor's profession or calling.
    (b) Exemption of cause of action and damages for  taking  or  injuring
  exempt  personal  property.  A  cause  of action, to recover damages for
  taking or injuring personal property  exempt  from  application  to  the
  satisfaction  of  a  money  judgment,  is exempt from application to the
  satisfaction of a money judgment. A  money  judgment  and  its  proceeds
  arising  out of such a cause of action is exempt, for one year after the
  collection thereof, from application to  the  satisfaction  of  a  money
  judgment.
    (c) Trust exemption. 1. Except as provided in paragraphs four and five
  of  this  subdivision,  all  property while held in trust for a judgment
  debtor, where the trust has been created by, or  the  fund  so  held  in
  trust  has  proceeded  from, a person other than the judgment debtor, is
  exempt from application to the satisfaction of a money judgment.
    2. For purposes of this subdivision, all trusts,  custodial  accounts,
  annuities,  insurance contracts, monies, assets or interests established
  as part of, and all payments from, either any trust or  plan,  which  is
  qualified as an individual retirement account under section four hundred
  eight  or  section  four  hundred  eight A of the United States Internal
  Revenue Code of 1986, as amended, a Keogh (HR-10), retirement  or  other
  plan  established by a corporation, which is qualified under section 401
  of the United States Internal Revenue  Code  of  1986,  as  amended,  or
  created  as  a  result of rollovers from such plans pursuant to sections
  402 (a) (5), 403 (a) (4), 408 (d) (3) or 408A of  the  Internal  Revenue
  Code  of  1986, as amended, or a plan that satisfies the requirements of
  section 457 of the Internal Revenue Code of 1986, as amended,  shall  be

  considered a trust which has been created by or which has proceeded from
  a  person  other  than  the  judgment  debtor, even though such judgment
  debtor is (i) in the case of an individual retirement account  plan,  an
  individual  who is the settlor of and depositor to such account plan, or
  (ii) a self-employed individual,  or  (iii)  a  partner  of  the  entity
  sponsoring  the  Keogh  (HR-10)  plan,  or  (iv)  a  shareholder  of the
  corporation sponsoring the retirement or other plan or (v) a participant
  in a section 457 plan.
    3. All trusts, custodial  accounts,  annuities,  insurance  contracts,
  monies,  assets,  or  interests  described  in  paragraph  two  of  this
  subdivision shall be conclusively  presumed  to  be  spendthrift  trusts
  under  this  section and the common law of the state of New York for all
  purposes, including, but not limited to,  all  cases  arising  under  or
  related  to  a  case  arising under sections one hundred one to thirteen
  hundred thirty of title eleven of the United States Bankruptcy Code,  as
  amended.
    4.  This  subdivision  shall  not  impair any rights an individual has
  under a qualified domestic relations order as that term  is  defined  in
  section  414(p)  of  the United States Internal Revenue Code of 1986, as
  amended or under any order of support, alimony  or  maintenance  of  any
  court  of  competent  jurisdiction  to  enforce arrears/past due support
  whether or not such arrears/past due support  have  been  reduced  to  a
  money judgment.
    5.   Additions  to  an  asset  described  in  paragraph  two  of  this
  subdivision shall not be exempt from application to the satisfaction  of
  a  money  judgment if (i) made after the date that is ninety days before
  the interposition of the claim on which such judgment  was  entered,  or
  (ii) deemed to be fraudulent conveyances under article ten of the debtor
  and creditor law.
    (d)  Income exemptions. The following personal property is exempt from
  application to the satisfaction of a money judgment, except such part as
  a court determines to be unnecessary for the reasonable requirements  of
  the judgment debtor and his dependents:
    1.  ninety  per  cent of the income or other payments from a trust the
  principal of which is exempt under subdivision (c);  provided,  however,
  that  with respect to any income or payments made from trusts, custodial
  accounts, annuities, insurance contracts,  monies,  assets  or  interest
  established  as part of an individual retirement account plan or as part
  of a Keogh (HR-10), retirement or other plan described in paragraph  two
  of  subdivision  (c)  of this section, the exception in this subdivision
  for such part as a court determines to be unnecessary for the reasonable
  requirements of the judgment debtor and his dependents shall not  apply,
  and  the  ninety  percent exclusion of this paragraph shall become a one
  hundred percent exclusion;
    2. ninety per cent of the earnings of  the  judgment  debtor  for  his
  personal  services  rendered  within  sixty days before, and at any time
  after, an income execution is delivered to the sheriff or  a  motion  is
  made  to secure the application of the judgment debtor's earnings to the
  satisfaction of the judgment; and
    3. payments pursuant to an award in  a  matrimonial  action,  for  the
  support  of  a  wife,  where the wife is the judgment debtor, or for the
  support of a child, where the child is the judgment  debtor;  where  the
  award  was  made by a court of the state, determination of the extent to
  which it is unnecessary shall be made by that court.
    (e) Exemptions to members of armed forces. The pay  and  bounty  of  a
  non-commissioned officer, musician or private in the armed forces of the
  United States or the state of New York; a land warrant, pension or other
  reward  granted by the United States, or by a state, for services in the

  armed forces; a sword, horse,  medal,  emblem  or  device  of  any  kind
  presented  as a testimonial for services rendered in the armed forces of
  the United States or a state; and the uniform, arms and equipments which
  were used by a person in the service, are exempt from application to the
  satisfaction of a money judgment; provided, however, that the provisions
  of  this subdivision shall not apply to the satisfaction of any order or
  money judgment for the support of a person's child,  spouse,  or  former
  spouse.
    (f)  Exemption  for unpaid milk proceeds. Ninety per cent of any money
  or debt due or to become due to the judgment debtor for the sale of milk
  produced on a farm operated by him and delivered for his  account  to  a
  milk  dealer  licensed pursuant to article twenty-one of the agriculture
  and markets law is exempt from application  to  the  satisfaction  of  a
  money judgment.
    (g)  Security  deposit  exemption. Money deposited as security for the
  rental of real property to be used as  the  residence  of  the  judgment
  debtor  or the judgment debtor's family; and money deposited as security
  with a gas, electric, water, steam, telegraph or telephone  corporation,
  or a municipality rendering equivalent utility services, for services to
  judgment  debtor's  residence  or  the  residence  of  judgment debtor's
  family, are exempt from application  to  the  satisfaction  of  a  money
  judgment.
    (h)  The following personal property is exempt from application to the
  satisfaction of money judgment, except such part as a  court  determines
  to be unnecessary for the reasonable requirements of the judgment debtor
  and his dependents:
    1. any and all medical and dental accessions to the human body and all
  personal  property  or equipment that is necessary or proper to maintain
  or assist in sustaining or maintaining one or more major life activities
  or is utilized to  provide  mobility  for  a  person  with  a  permanent
  disability; and
    2.  any  guide  dog,  service  dog  or hearing dog, as those terms are
  defined in section one hundred eight of the agriculture and markets law,
  or any animal trained to  aid  or  assist  a  person  with  a  permanent
  disability  and actually being so used by such person, together with any
  and all food or feed for any such dog or other animal.
    (i) Exemption for life insurance policies. The  right  of  a  judgment
  debtor  to  accelerate  payment  of  part or all of the death benefit or
  special surrender value under a life insurance policy, as authorized  by
  paragraph  one  of  subsection  (a)  of section one thousand one hundred
  thirteen of the insurance law, or to enter into  a  viatical  settlement
  pursuant  to  the  provisions  of article seventy-eight of the insurance
  law, is exempt from application to the satisfaction of a money judgment.
    (j) Exemption for  New  York  state  college  choice  tuition  savings
  program trust fund payment monies. Monies in an account created pursuant
  to  article  fourteen-A of the education law are exempt from application
  to the satisfaction of a money judgment as follows:
    1. one  hundred  percent  of  monies  in  an  account  established  in
  connection  with  a  scholarship  program  established  pursuant to such
  article is exempt;
    2. one hundred percent of monies in an account  is  exempt  where  the
  judgment  debtor is the account owner and designated beneficiary of such
  account and is a minor; and
    3. an amount not exceeding ten thousand dollars in an account,  or  in
  the  aggregate  for  more than one account, is exempt where the judgment
  debtor is the account owner of such account or accounts.

    For purposes of  this  subdivision,  the  terms  "account  owner"  and
  "designated  beneficiary"  shall  have  the meanings ascribed to them in
  article fourteen-A of the education law.
    (k)  Notwithstanding any other provision of law to the contrary, where
  the judgment  involves  funds  of  a  convicted  person  as  defined  in
  paragraph  (c) of subdivision one of section six hundred thirty-two-a of
  the executive law,  and  all  or  a  portion  of  such  funds  represent
  compensatory  damages  awarded  by  judgment  to a convicted person in a
  separate action, a  judgment  obtained  pursuant  to  such  section  six
  hundred  thirty-two-a  shall  not be subject to execution or enforcement
  against the first  ten  percent  of  the  portion  of  such  funds  that
  represents  compensatory  damages  in  the  convicted  person's  action;
  provided, however, that this exemption  from  execution  or  enforcement
  shall not apply to judgments obtained by a convicted person prior to the
  effective  date  of  the  chapter  of the laws of two thousand one which
  added this sentence or to any amendment  to  such  judgment  where  such
  amendment   was  obtained  on  or  after  the  effective  date  of  this
  subdivision. For the purpose of determining the  amount  of  a  judgment
  which  is  not  subject  to  execution  or  enforcement pursuant to this
  subdivision: (i) the  court  shall  deduct  attorney's  fees  from  that
  portion  of  the  judgment  that  represents  compensatory  damages  and
  multiply the remainder of compensatory damages by ten percent; and  (ii)
  when the judgment includes compensatory and punitive damages, attorney's
  fees  shall  be pro rated among compensatory and punitive damages in the
  same proportion that all attorney's fees bear to all damages recovered.
    (l) Exemption of banking institution accounts into  which  statutorily
  exempt  payments  are  made  electronically  or by direct deposit. 1. If
  direct  deposit  or  electronic  payments  reasonably  identifiable   as
  statutorily  exempt  payments were made to the judgment debtor's account
  in any banking institution during the forty-five  day  period  preceding
  the  date  a restraining notice was served on the banking institution or
  an execution was served upon the banking institution  by  a  marshal  or
  sheriff, then two thousand five hundred dollars in the judgment debtor's
  account  is  exempt  from  application  to  the  satisfaction of a money
  judgment. Nothing in this subdivision shall  be  construed  to  limit  a
  creditor's  rights  under  42  U.S.C.  §  659  or 38 U.S.C. § 5301 or to
  enforce  a  child  support,  spousal  support,  alimony  or  maintenance
  obligation. Nothing in this subdivision shall alter the exempt status of
  funds  that  are protected from execution, levy, attachment, garnishment
  or other legal process, pursuant to this  section  or  under  any  other
  provision  of  state  or  federal  law,  or  shall affect the right of a
  judgment debtor to claim such exemption.
    2. For purposes of this article, "statutorily exempt  payments"  means
  any  personal  property exempt from application to the satisfaction of a
  money judgment under any provision of state or federal  law.  Such  term
  shall include, but not be limited to, payments from any of the following
  sources:   social   security,   including   retirement,  survivors'  and
  disability benefits,  supplemental  security  income  or  child  support
  payments;  veterans administration benefits; public assistance; workers'
  compensation;  unemployment  insurance;  public  or  private   pensions;
  railroad retirement; and black lung benefits.
    3.  (i)  Beginning  on  April  first, two thousand twelve, and at each
  three-year interval ending on April first thereafter, the dollar  amount
  of  the  exemption provided in this section, subdivisions (e) and (h) of
  section  fifty-two  hundred  twenty-two,  subdivision  (a)  of   section
  fifty-two  hundred  thirty  and  subdivision  (e)  of  section fifty-two
  hundred thirty-two of this article in  effect  immediately  before  that

  date  shall  be  adjusted  as  provided  in  subparagraph  (ii)  of this
  paragraph.
    (ii)  The  superintendent  of  banks shall determine the amount of the
  adjustment based on the change in the Consumer Price Index for All Urban
  Consumers,  New  York-Northern  New  Jersey-Long  Island,   NY-NJ-CT-PA,
  published  by  the U.S. Department of Labor, Bureau of Labor Statistics,
  for the most recent three-year period ending  on  December  thirty-first
  preceding  the  adjustment,  with  each  adjusted  amount rounded to the
  nearest twenty-five dollars.
    (iii) Beginning on April first,  two  thousand  twelve,  and  at  each
  three-year interval ending on April first thereafter, the superintendent
  of  banks  shall  publish  the  current  dollar  amount of the exemption
  provided in this section, subdivisions (e) and (h) of section  fifty-two
  hundred  twenty-two, subdivision (a) of section fifty-two hundred thirty
  and subdivision (e) of section  fifty-two  hundred  thirty-two  of  this
  chapter,  together  with  the date of the next scheduled adjustment. The
  publication shall be substantially in the form set below:
    CURRENT DOLLAR AMOUNT OF EXEMPTION FROM ENFORCEMENT OF JUDGMENT  UNDER
  NEW  YORK  CIVIL  PRACTICE  LAW  AND  RULES  Sections  5205(l), 5222(e),
  5222(h), 5230(a), and 5232(e)
    The  following  is  the  current  dollar  amount  of  exemption   from
  enforcement  of  money  judgments  under CPLR sections 5205(l), 5222(e),
  5222(h), 5230(a), and 5232(e), as required by CPLR section 5205(l)(3):
    (Amount)
    This amount is effective on April 1, (year) and  shall  not  apply  to
  cases commenced before April 1, (year). The next adjustment is scheduled
  for April 1, (year).
    (iv)  Adjustments  made under subparagraph (i) of this paragraph shall
  not apply with respect  to  restraining  notices  served  or  executions
  effected before the date of the adjustment.
    (m)  Nothing  in  subdivision  (l) of this section limits the judgment
  debtor's exemption rights in this section or under any other law.
    (n) Notwithstanding any other provision of law to  the  contrary,  the
  term  "banking  institution"  when  used  in this article shall mean and
  include all banks, trust companies,  savings  banks,  savings  and  loan
  associations,  credit unions, foreign banking corporations incorporated,
  chartered, organized or licensed under the laws of this  state,  foreign
  banking  corporations maintaining a branch in this state, and nationally
  chartered banks.
    (o) The provisions of subdivisions (l), (m) and (n) of this section do
  not apply when the state  of  New  York,  or  any  of  its  agencies  or
  municipal corporations is the judgment creditor, or if the debt enforced
  is  for child support, spousal support, maintenance or alimony, provided
  that the restraining notice or execution contains a legend  at  the  top
  thereof,  above  the  caption,  in  sixteen  point  bold  type  with the
  following language: "The judgment creditor is the state of New York,  or
  any  of its agencies or municipal corporations, AND/OR the debt enforced
  is for child support, spousal support, maintenance or alimony.".