§ 2220. Payment of share of infant, incompetent or conservatee or person

under disability

1. Where an infant, incompetent, conservatee, or person under
disability is entitled to money or property as beneficiary of an estate
or to the proceeds of any action brought as prescribed in EPTL 5-4.1 or
to the proceeds of a settlement of a cause of action for personal
injuries, the decree or order shall direct that it be paid or delivered
to the guardian, committee or conservator of the property of such person
upon the filing of sufficient security, except as provided in EPTL 7-4.9
or 11-1.1, unless the money or property payable or deliverable to the
infant, incompetent, or conservatee, or person under disability does not
exceed in value $10,000, in which case the decree or order may order it
to be paid or delivered to a parent of such person or to some competent
adult with whom such person resides or who has some interest in such
person's welfare, for the use and benefit of such person.

2. If the sum payable to a patient in an institution in the state
department of mental hygiene is not in excess of the amount which the
director of the institution is authorized to receive pursuant to section
29.23 of the mental hygiene law, the decree or order may order it to be
paid to such director for use as provided in that section.

3. If there be no guardian, committee or conservator of the property
the decree or order may provide that the sum payable to the infant,
incompetent or person under substantial impairment within the meaning of
the conservatorship provisions of article seventy-seven of the mental
hygiene law not disposed of as above be paid into the court or the court
may order that money constituting any part of the property be deposited
in one or more specified insured banks or trust companies or be invested
in one or more specified accounts in insured savings and loan
associations subject to withdrawal only upon order of the court, except
that no court order shall be required to pay over to the infant who has
attained the age of eighteen years all moneys so held unless the
depository is in receipt of an order from a court of competent
jurisdiction directing it to withhold such payment beyond the infant's
eighteenth birthday.

4. If money or property is payable or deliverable under subdivision
one of this section to a person under disability as defined in article
seventy-seven of the mental hygiene law, the court may pursuant to such
article appoint a conservator provided that: the person under the
disability resides within the county in which the proceeding is pending;
no guardian, committee or conservator has been appointed by the supreme
court or county court; and the money or property is to be paid or
delivered to the conservator.

5. If any proceeds payable to an infant, incompetent or person under
disability pursuant to this section are proposed to be paid by way of a
structured settlement, which shall include any settlement whose terms
contain provisions for the payment of funds on an installment basis, the
court may approve such settlement, provided that, with respect to future
installment payments, the court may order that each party liable for
such payments shall fund such payments, in an amount necessary to assure
the future payments, in the form of an annuity contract executed by a
qualified insurer and approved by the superintendent of financial
services pursuant to articles fifty-A and fifty-B of the civil practice
law and rules.