Assembly Actions -
Lowercase Senate Actions - UPPERCASE |
|
---|---|
Jun 21, 2012 |
committed to rules |
Jun 11, 2012 |
advanced to third reading |
Jun 06, 2012 |
2nd report cal. |
Jun 05, 2012 |
1st report cal.1048 |
May 30, 2012 |
print number 7228a |
May 30, 2012 |
amend (t) and recommit to judiciary |
May 02, 2012 |
referred to judiciary |
Senate Bill S7228
2011-2012 Legislative Session
Sponsored By
(R, C, IP) Senate District
Archive: Last Bill Status - In Senate Committee Rules Committee
- Introduced
-
- In Committee Assembly
- In Committee Senate
-
- On Floor Calendar Assembly
- On Floor Calendar Senate
-
- Passed Assembly
- Passed Senate
- Delivered to Governor
- Signed By Governor
Actions
Votes
Bill Amendments
2011-S7228 - Details
- Current Committee:
- Senate Rules
- Law Section:
- Estates, Powers and Trusts Law
- Laws Affected:
- Rpld §11-1.5 ¶¶(d) & (e), amd §11-A-2.1, EPT L
- Versions Introduced in 2013-2014 Legislative Session:
-
S4952
2011-S7228 - Sponsor Memo
BILL NUMBER:S7228 TITLE OF BILL: An act to amend the estates, powers and trusts law, in relation to the payment of interest on delayed legacies; and to repeal paragraphs (d) and (e) of section 11-1.5 of such law relating thereto PURPOSE OF BILL: The purpose of the bill is to change the law regarding the payment of interest on a delayed pecuniary legacy. In addition, this bill proposes to change the interest rate paid on legacies from the statutory rate of six percent, to an interest rate based on the Federal Funds Rate. This way, the beneficiary is compensated according to the time value of money for the delay in payment of their legacy. JUSTIFICATION: EPTL 11-1.5 currently provides that interest is not payable unless a demand is made upon the fiduciary prior to commencing a proceeding in Surrogate's Court to compel payment of the legacy. The current statute fixes interest at 6% starting seven months from the time that letters testamentary, including preliminary letters testamentary, are granted and permits the Court to award interest at the legal or judgment rate set forth in the CPLR if the delay in paying legacies
2011-S7228 - Bill Text download pdf
S T A T E O F N E W Y O R K ________________________________________________________________________ 7228 I N S E N A T E May 2, 2012 ___________ Introduced by Sen. BONACIC -- read twice and ordered printed, and when printed to be committed to the Committee on Judiciary AN ACT to amend the estates, powers and trusts law, in relation to the payment of interest on delayed legacies; and to repeal paragraphs (d) and (e) of section 11-1.5 of such law relating thereto THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Paragraphs (d) and (e) of section 11-1.5 of the estates, powers and trusts law are REPEALED. S 2. Paragraph 3 of section 11-A-2.1 of the estates, powers and trusts law, as added by chapter 243 of the laws of 2001, is amended to read as follows: (3) [A] UNLESS OTHERWISE PROVIDED BY THE TERMS OF THE WILL OR TRUST, COMMENCING (A) SEVEN MONTHS FROM EITHER THE DATE OF DEATH OR OTHER DATE A BENEFICIARY IS TO RECEIVE A PECUNIARY AMOUNT OUTRIGHT IF LETTERS ARE NOT REQUIRED, OR (B) SEVEN MONTHS FROM THE TIME LETTERS, INCLUDING PRELIMINARY OR TEMPORARY LETTERS, ARE GRANTED IF LETTERS ARE REQUIRED, A fiduciary shall distribute INCOME to a beneficiary who receives a pecu- niary amount outright [the interest or any other amount provided by the will, the terms of the trust, or applicable law], from net income deter- mined under paragraph (2) or from principal to the extent that net income is insufficient[. If a beneficiary is to receive a pecuniary amount outright from a trust after an income interest ends and no inter- est or other amount is provided for by the terms of the trust or appli- cable law, the fiduciary shall distribute the interest or other amount to which the beneficiary would be entitled under applicable law if the pecuniary amount were required to be paid under a will], OF AN AMOUNT EQUAL TO THE PECUNIARY AMOUNT MULTIPLIED BY AN INCOME FACTOR, WHICH SHALL BE SET (OR RESET) ON THE FIRST BUSINESS DAY OF EACH CALENDAR YEAR AND FIXED FOR THAT CALENDAR YEAR AT THE TARGET FEDERAL FUNDS RATE AS ANNOUNCED BY THE FEDERAL RESERVE BOARD (OR IN THE EVENT THE TARGET FEDERAL FUNDS RATE IS A RANGE OF RATES, THE HIGH OF THAT RANGE) LESS ONE PERCENT, BUT IN NO EVENT LESS THAN ONE-HALF OF ONE PERCENT. S 3. This act shall take effect on the sixtieth day after it shall have become a law and shall apply to the estates of decedents who shall have died on or after such date.
2011-S7228A (ACTIVE) - Details
- Current Committee:
- Senate Rules
- Law Section:
- Estates, Powers and Trusts Law
- Laws Affected:
- Rpld §11-1.5 ¶¶(d) & (e), amd §11-A-2.1, EPT L
- Versions Introduced in 2013-2014 Legislative Session:
-
S4952
2011-S7228A (ACTIVE) - Sponsor Memo
BILL NUMBER:S7228A TITLE OF BILL: An act to amend the estates, powers and trusts law, in relation to the payment of interest on delayed legacies; and to repeal paragraphs (d) and (e) of section 11-1.5 of the estates, powers and trusts law and subdivision 7 of section 2102 of the surrogate's court procedure act relating thereto PURPOSE OF BILL: The purpose of the bill is to change the law regarding the payment of interest on a delayed pecuniary legacy. In addition, this bill proposes to change the interest rate paid on legacies from the statutory rate of six percent, to an interest rate based on the Federal Funds Rate. This way, the beneficiary is compensated according to the time value of money for the delay in payment of their legacy. JUSTIFICATION: EPTL 11-1.5 currently provides that interest is not payable unless a demand is made upon the fiduciary prior to commencing a proceeding in Surrogate's Court to compel payment of the legacy. The current
2011-S7228A (ACTIVE) - Bill Text download pdf
S T A T E O F N E W Y O R K ________________________________________________________________________ 7228--A I N S E N A T E May 2, 2012 ___________ Introduced by Sen. BONACIC -- 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 estates, powers and trusts law, in relation to the payment of interest on delayed legacies; and to repeal paragraphs (d) and (e) of section 11-1.5 of the estates, powers and trusts law and subdivision 7 of section 2102 of the surrogate's court procedure act relating thereto THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. Paragraphs (d) and (e) of section 11-1.5 of the estates, powers and trusts law are REPEALED. S 2. Paragraph 3 of section 11-A-2.1 of the estates, powers and trusts law, as added by chapter 243 of the laws of 2001, is amended to read as follows: (3) [A] UNLESS OTHERWISE PROVIDED BY THE TERMS OF THE WILL OR TRUST, COMMENCING (A) SEVEN MONTHS FROM EITHER THE DATE OF DEATH OR OTHER DATE A BENEFICIARY IS TO RECEIVE A PECUNIARY AMOUNT OUTRIGHT IF LETTERS ARE NOT REQUIRED, OR (B) SEVEN MONTHS FROM THE TIME LETTERS, INCLUDING PRELIMINARY OR TEMPORARY LETTERS, ARE GRANTED IF LETTERS ARE REQUIRED, A fiduciary shall distribute INCOME to a beneficiary who receives a pecu- niary amount outright [the interest or any other amount provided by the will, the terms of the trust, or applicable law], from net income deter- mined under paragraph (2) or from principal to the extent that net income is insufficient[. If a beneficiary is to receive a pecuniary amount outright from a trust after an income interest ends and no inter- est or other amount is provided for by the terms of the trust or appli- cable law, the fiduciary shall distribute the interest or other amount to which the beneficiary would be entitled under applicable law if the pecuniary amount were required to be paid under a will], OF AN AMOUNT EQUAL TO THE PECUNIARY AMOUNT MULTIPLIED BY AN INCOME FACTOR, WHICH SHALL BE SET (OR RESET) ON THE FIRST BUSINESS DAY OF EACH CALENDAR YEAR AND FIXED FOR THAT CALENDAR YEAR AT THE TARGET FEDERAL FUNDS RATE AS EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted.
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