§ 2877. Removal of disqualification of public contractors by petition.
1. Any firm, partnership or corporation which has become subject to the
cancellation or termination of a contract or disqualification to
contract on account of the refusal of a member, partner, director or
officer thereof to waive immunity when called to testify, as provided in
sections twenty-eight hundred seventy-five and twenty-eight hundred
seventy-six of this title, may, upon ten days' notice to the attorney
general and to the officer who conducted the investigation before the
grand jury or other body in which the refusal occurred, commence a
special proceeding at a special term of the supreme court held within
the judicial district in which the refusal occurred for a judgment
discontinuing the disqualification. Such application shall be in the
form of a petition setting forth grounds, including that the cooperation
by petitioner with the grand jury or other body at the time of the
refusal was such, and the amount and degree of control and financial
interest, if any, in the petitioning firm, partnership or corporation by
the member, partner, officer or director who refused to waive immunity
is such that it will not be in the public interest to cancel or
terminate petitioner's contracts or to continue the disqualification, as
provided in sections twenty-eight hundred seventy-five and twenty-eight
hundred seventy-six of this title.

A copy of the petition and accompanying papers shall be served with
the notices to be given pursuant to this subdivision.

2. Upon the filing of such petition the court may stay as to
petitioner, pending a decision upon the petition, the cancellation or
termination of any contracts resulting from such refusal upon such terms
as to notice or otherwise as may be just.

3. At least two days prior to the return day, the officer who
conducted the investigation before the grand jury or other body and the
attorney general may file answers to the petition or apply for judgment
dismissing the petition as a matter of law. On or before the return day
the petitioner may file a reply to the answer.

4. Upon the return day the court may, upon the petition and answer and
other papers filed, forthwith render such judgment as the case requires,
or if a triable issue of fact is duly raised, it shall forthwith be
tried before a court sitting without a jury or before a referee. The
provisions of statute or rule governing references in an action shall
apply to a reference under this subdivision.

5. The court shall render judgment dismissing the petition on the
merits or discontinuing the disqualification upon the ground that the
public interest would be served by its discontinuance, and granting such
other relief as to the cancellation or termination of contracts as may
be appropriate, but without costs to petitioner.