§ 1808. Distribution of proceeds of compensation. 1. Where
compensation exceeds one thousand dollars, it shall be deemed property
of the same nature, and the disposition thereof shall be made in the
same manner, as the disposition of proceeds of a sale, mortgage, release
or lease of real property of infant or incompetent.

2. Where compensation does not exceed one thousand dollars, after
deducting therefrom the payment of any attorney's fees and the expenses,
if any as allowed by the court, the proceeds shall be administered by
the petitioner for the use and benefit of the infant, incompetent person
or conservatee, including the application thereof for the purposes, in
the manner, under the limitations and through the medium provided for in
the mental hygiene law of the state of New York and official rules and
regulations adopted pursuant thereto as to funds belonging to a patient,
in any case where such ward is an incompetent person or conservatee
confined as a patient to a state institution under the jurisdiction of
the department of mental hygiene of the state of New York.