2006 New York Code - Special Rights Of Creditors.

 
  Section 2-A-308. Special Rights of Creditors.
    (1)  A  creditor of a lessor in possession of goods subject to a lease
  contract may treat the lease contract as void if as against the creditor
  retention of possession by the lessor is fraudulent under any statute or
  rule of law, but retention of  possession  in  good  faith  and  current
  course  of  trade by the lessor for a commercially reasonable time after
  the lease contract becomes enforceable is not fraudulent.
    (2) Nothing in this Article impairs  the  rights  of  creditors  of  a
  lessor  if  the  lease  contract (a) becomes enforceable, not in current
  course of trade but in satisfaction of or as security for a  preexisting
  claim  for  money,  security,  or  the  like,  and  (b)  is  made  under
  circumstances which under any statute or rule of  law  apart  from  this
  Article  would  constitute  the  transaction  a  fraudulent  transfer or
  voidable preference.
    (3) A creditor of a seller may treat a sale or  an  identification  of
  goods  to  a  contract  for  sale  as  void  if  as against the creditor
  retention of possession by the seller is fraudulent under any statute or
  rule of law, but retention of possession of  the  goods  pursuant  to  a
  lease  contract  entered  into  by the seller as lessee and the buyer as
  lessor in connection with the sale or identification of the goods is not
  fraudulent if the buyer bought for value and in good faith.