S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   4502
 
                        2021-2022 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             February 4, 2021
                                ___________
 
 Introduced by M. of A. WALKER -- read once and referred to the Committee
   on Codes
 
 AN  ACT  to  amend  the  civil  practice  law  and rules, in relation to
   increasing the value of homesteads which are to be exempt  from  civil
   judgments
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Subdivisions (a), (d) and (e) of section 5206 of the  civil
 practice  law  and rules, as amended by chapter 568 of the laws of 2010,
 are amended to read as follows:
   (a) Exemption of homestead. Property of one of  the  following  types,
 not  exceeding [one] TWO hundred fifty thousand dollars for the counties
 of Kings, Queens, New York, Bronx, Richmond, Nassau, Suffolk,  Rockland,
 Westchester and Putnam; one hundred twenty-five thousand dollars for the
 counties of Dutchess, Albany, Columbia, Orange, Saratoga and Ulster; and
 seventy-five thousand dollars for the remaining counties of the state in
 value  above  liens  and encumbrances, owned and occupied as a principal
 residence, is exempt from application to the  satisfaction  of  a  money
 judgment,  unless  the  judgment  was  recovered wholly for the purchase
 price thereof:
   1. a lot of land with a dwelling thereon,
   2. shares of stock in a cooperative apartment corporation,
   3. units of a condominium apartment, or
   4. a mobile home.
   But no exempt homestead shall be exempt from taxation or from sale for
 non-payment of taxes or assessments.
   (d) Exemption of homestead exceeding [one] TWO hundred fifty  thousand
 dollars  in  value  for  the counties of Kings, Queens, New York, Bronx,
 Richmond, Nassau, Suffolk, Rockland, Westchester and Putnam; one hundred
 twenty-five thousand dollars  for  the  counties  of  Dutchess,  Albany,
 Columbia, Orange, Saratoga and Ulster; and seventy-five thousand dollars
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD07603-01-1

 A. 4502                             2
 
 for the remaining counties of the state. The exemption of a homestead is
 not  void  because  the  value of the property exceeds one hundred fifty
 thousand dollars for the counties of Kings,  Queens,  New  York,  Bronx,
 Richmond, Nassau, Suffolk, Rockland, Westchester and Putnam; one hundred
 twenty-five  thousand  dollars  for  the  counties  of Dutchess, Albany,
 Columbia, Orange, Saratoga and Ulster; and seventy-five thousand dollars
 for the remaining counties of the state  but  the  lien  of  a  judgment
 attaches to the surplus.
   (e)  Sale  of  homestead  exceeding  [one]  TWO hundred fifty thousand
 dollars for the counties of Kings, Queens, New  York,  Bronx,  Richmond,
 Nassau,  Suffolk,  Rockland, Westchester and Putnam; one hundred twenty-
 five thousand dollars for the counties of  Dutchess,  Albany,  Columbia,
 Orange,  Saratoga  and Ulster; and seventy-five thousand dollars for the
 remaining counties of the  state  in  value.  A  judgment  creditor  may
 commence  a  special  proceeding in the county in which the homestead is
 located against the judgment debtor  for  the  sale,  by  a  sheriff  or
 receiver,  of  a  homestead  exceeding  [one] TWO hundred fifty thousand
 dollars for the counties of Kings, Queens, New  York,  Bronx,  Richmond,
 Nassau,  Suffolk,  Rockland, Westchester and Putnam; one hundred twenty-
 five thousand dollars for the counties of  Dutchess,  Albany,  Columbia,
 Orange,  Saratoga  and Ulster; and seventy-five thousand dollars for the
 remaining counties of the state in value. The court may direct that  the
 notice  of  petition  be  served upon any other person. The court, if it
 directs such a sale, shall so marshal the proceeds of the sale that  the
 right  and  interest  of each person in the proceeds shall correspond as
 nearly as may be to his right and interest in the property sold.  Money,
 not  exceeding [one] TWO hundred fifty thousand dollars for the counties
 of Kings, Queens, New York, Bronx, Richmond, Nassau, Suffolk,  Rockland,
 Westchester and Putnam; one hundred twenty-five thousand dollars for the
 counties of Dutchess, Albany, Columbia, Orange, Saratoga and Ulster; and
 seventy-five  thousand  dollars for the remaining counties of the state,
 paid to a judgment debtor, as representing his interest in the proceeds,
 is exempt for one year after the payment, unless, before the  expiration
 of  the  year,  he  acquires  an  exempt  homestead,  in which case, the
 exemption ceases with respect to  so  much  of  the  money  as  was  not
 expended  for  the  purchase  of that property; and the exemption of the
 property so acquired extends to every debt against  which  the  property
 sold  was  exempt. Where the exemption of property sold as prescribed in
 this subdivision has been continued after the judgment  debtor's  death,
 or where he dies after the sale and before payment to him of his portion
 of  the  proceeds  of the sale, the court may direct that portion of the
 proceeds which represents his interest be invested for  the  benefit  of
 the  person  or  persons entitled to the benefit of the exemption, or be
 otherwise disposed of as justice requires.
   § 2. This act shall take effect immediately and  shall  be  deemed  to
 have been in full force and effect on and after August 30, 2005.