There is a newer version of the New York Consolidated Laws
2006 New York Code - Deficiency Judgment.
* § 1419. Deficiency judgment. 1. Unless otherwise agreed by the mortgagor and the mortgagee in the mortgage, a person who or entity which owes payment of an obligation secured by the mortgage foreclosed under this article is liable for the whole residue, or so much thereof as the court may determine, of the debt remaining unsatisfied, after the sale of the mortgaged property and the application of the proceeds, the amount of the debt remaining unsatisfied to be determined by the court as herein provided. 2. Not later than ninety days after the delivery to the purchaser of the power of sale deed to the mortgaged property, the person to whom or entity to which such residue shall be owing may make an application under the index number assigned the non-judicial proceeding, in the supreme court for the county in which the mortgaged property is located, or in a county in which the sale has taken place for a deficiency judgment against the persons or entities liable therefor upon notice to such persons or entities. Such notice shall be served personally or in such other manner as the court may direct. Upon such application, the court, whether or not the person or entity claimed to be liable for the residue appears, shall determine, upon reasonable appraisal by a real estate appraiser licensed in the state of New York, or otherwise as it shall direct, the fair and reasonable market value of the mortgaged property as of the date the mortgaged property was bid on at auction or such nearest earlier date as there shall have been any market value thereof and shall make an order directing the entry of a deficiency judgment against the person or entity liable therefor. Such deficiency judgment shall be for an amount equal to the aggregate amount of the indebtedness due to the mortgagee, together with all other sums recoverable under section fourteen hundred seventeen of this article as such shall be set forth in the report of sale pursuant to subdivision three of section fourteen hundred fourteen of this article less the higher of: (a) market value of the mortgaged property as determined by the court or (b) the sales price of the mortgaged property at the public sale. 3. If no application for a deficiency judgment shall be made as herein prescribed, the proceeds of the sale regardless of the amount thereof shall be deemed to be in full satisfaction of the mortgage debt, and no right to recover any deficiency in any action or proceeding shall exist. * NB Repealed July 1, 2009
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