2006 New York Code - Ground For Cancellation Of Contract By Municipal Corporations And Fire Districts.

 
    § 103-a. Ground for cancellation of contract by municipal corporations
  and fire districts.  A clause shall be inserted in all specifications or
  contracts  made  or  awarded  by  a  municipal corporation or any public
  department, agency or official thereof on or  after  the  first  day  of
  July, nineteen hundred fifty-nine or by a fire district or any agency or
  official  thereof  on  or  after  the  first  day of September, nineteen
  hundred sixty, for work or services performed or  to  be  performed,  or
  goods  sold or to be sold, to provide that upon the refusal of a person,
  when called before a grand jury, head of a state  department,  temporary
  state  commission  or other state agency, the organized crime task force
  in the department of law, head of  a  city  department,  or  other  city
  agency,  which  is  empowered  to compel the attendance of witnesses and
  examine them under oath, to testify in an investigation  concerning  any
  transaction  or  contract  had with the state, any political subdivision
  thereof, a public authority or with any  public  department,  agency  or
  official  of  the  state or of any political subdivision thereof or of a
  public authority, to  sign  a  waiver  of  immunity  against  subsequent
  criminal  prosecution or to answer any relevant question concerning such
  transaction or contract,
    (a) such person, and any firm, partnership or corporation of which  he
  is  a  member,  partner,  director or officer shall be disqualified from
  thereafter selling to or submitting bids to or receiving awards from  or
  entering  into  any  contracts  with  any  municipal corporation or fire
  district, or any public department,  agency  or  official  thereof,  for
  goods,  work or services, for a period of five years after such refusal,
  and to provide also that
    (b) any and all contracts made with any municipal corporation  or  any
  public  department, agency or official thereof on or after the first day
  of July, nineteen hundred fifty-nine or with any fire  district  or  any
  agency  or  official  thereof  on  or  after the first day of September,
  nineteen hundred sixty, by such person, and by any firm, partnership, or
  corporation of which he is a member, partner, director or officer may be
  cancelled or terminated by the municipal corporation  or  fire  district
  without incurring any penalty or damages on account of such cancellation
  or  termination,  but  any  monies owing by the municipal corporation or
  fire district for goods delivered or work done prior to the cancellation
  or termination shall be paid.
    The provisions of this section as in force and  effect  prior  to  the
  first   day  of  September,  nineteen  hundred  sixty,  shall  apply  to
  specifications or contracts made or awarded by a  municipal  corporation
  on  or  after  the  first  day of July, nineteen hundred fifty-nine, but
  prior to the first day of September, nineteen hundred sixty.