2012 New York Consolidated Laws
DCD - Debtor & Creditor
Article 2 - (2 - 24) GENERAL ASSIGNMENTS FOR THE BENEFIT OF CREDITORS
22 - Wages and commissions and preferred claims.

 
    §   22.  Wages  and  commissions  and  preferred  claims.  1.  In  all
  distribution of assets under all assignments made in pursuance  of  this
  article,  the  wages  or salaries actually owing to the employees of the
  assignor or assignors at the time of the execution of the assignment for
  services rendered within three months prior  to  the  execution  of  the
  assignment,  not  exceeding  one  thousand dollars to each employee, and
  after payment of  the  foregoing,  all  claims  for  cash  deposits  not
  exceeding  three  hundred  dollars  made  and  left  with an assignor or
  assignors on account of purchases at retail of merchandise or  services,
  where  such deposits were made within six months before the execution of
  the assignment and such  merchandise  has  not  been  delivered  or  the
  services  performed,  shall  be  preferred  before any other debt except
  wages or salaries as aforesaid; and should the assets of the assignor or
  assignors not be sufficient to pay in full  all  the  claims  preferred,
  pursuant  to this section, they shall be applied to the payment first of
  wages or salaries to the full amount of each such wage  or  salary,  and
  thereafter pro rata to payment of such cash deposits.
    2. For the purposes of this section, wages or salaries shall mean; (a)
  all  compensation  and  benefits  payable  by  an employer to or for the
  account of the employee for personal services rendered by such employee.
  These shall  specifically  include  but  not  be  limited  to  salaries,
  overtime, vacation, holiday and severance pay; employer contributions to
  or  payments of insurance or welfare benefits; employer contributions to
  pension or annuity funds; and any other moneys properly due  or  payable
  for  services  rendered by such employee. Vacation and severance pay due
  and owing at the time of the filing of an assignment,  or  which  became
  due  and  owing  after  the  filing  of  an assignment, but prior to the
  closing of the estate, shall be considered as wages or salaries owed for
  services rendered within three months prior  to  the  execution  of  the
  assignment,  or  (b)  commissions  due  traveling  or  city  salesmen on
  salaries or commission basis, whole or part-time, whether or not selling
  exclusively for the assignor or assignors, and for the purpose  of  this
  section,  traveling  or  city  salesmen, shall include all such salesmen
  whether or not they are  independent  contractors  selling  products  or
  services  of  the  bankrupt  with or without a drawing account or formal
  contract.