Bill Text: NY S03751 | 2011-2012 | General Assembly | Introduced

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Bill Title: Relates to the rate of interest to be paid on judgments and accrued claims; ties the rate of interest to the maturity treasury yield as published by the federal reserve.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Introduced - Dead) 2012-01-04 - REFERRED TO BANKS [S03751 Detail]

Download: New_York-2011-S03751-Introduced.html

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                           S T A T E   O F   N E W   Y O R K
       ________________________________________________________________________
                                         3751
                              2011-2012 Regular Sessions
                                   I N  S E N A T E
                                     March 3, 2011
                                      ___________
       Introduced  by  Sen.  GRIFFO -- read twice and ordered printed, and when
         printed to be committed to the Committee on Banks
       AN ACT to amend the banking law and the civil practice law and rules, in
         relation to the rate of interest to be paid upon judgments and accrued
         claims
         THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
       BLY, DO ENACT AS FOLLOWS:
    1    Section  1.  The banking law is amended by adding a new section 7-a to
    2  read as follows:
    3    S 7-A. RATE OF INTEREST ON MONEY JUDGMENTS. UNLESS OTHERWISE  PROVIDED
    4  BY  CONTRACT  OR ANY OTHER PROVISION OF LAW, THE INTEREST ON MONEY JUDG-
    5  MENTS SHALL BE CALCULATED AT A RATE EQUAL TO THE WEEKLY AVERAGE ONE YEAR
    6  CONSTANT MATURITY TREASURY YIELD, AS PUBLISHED BY THE BOARD OF GOVERNORS
    7  OF THE FEDERAL RESERVE SYSTEM, FOR THE CALENDAR WEEK PRECEDING THE  DATE
    8  OF  THE  ENTRY  OF THE JUDGMENT AWARDING DAMAGES, EXCEPT WHERE OTHERWISE
    9  PROVIDED BY STATUTE. IN NO EVENT, HOWEVER, SHALL THE RATE OF INTEREST ON
   10  ANY JUDGMENT OR ACCRUED CLAIM EXCEED NINE PER CENTUM PER ANNUM.
   11    S 2. Section 5004 of the civil practice law and rules, as  amended  by
   12  chapter 258 of the laws of 1981, is amended to read as follows:
   13    S  5004.  Rate of interest. Interest shall be [at the rate of nine per
   14  centum per annum] CALCULATED AT A RATE EQUAL TO THE WEEKLY  AVERAGE  ONE
   15  YEAR  CONSTANT  MATURITY  TREASURY  YIELD,  AS PUBLISHED BY THE BOARD OF
   16  GOVERNORS OF THE FEDERAL RESERVE SYSTEM, FOR THE CALENDAR WEEK PRECEDING
   17  THE DATE OF THE ENTRY OF THE JUDGMENT  AWARDING  DAMAGES,  except  where
   18  otherwise  provided by statute.  IN NO EVENT, HOWEVER, SHALL THE RATE OF
   19  INTEREST ON ANY JUDGMENT OR ACCRUED CLAIM EXCEED  NINE  PER  CENTUM  PER
   20  ANNUM.
   21    S 3. This act shall take effect immediately.
        EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                             [ ] is old law to be omitted.
                                                                  LBD09406-02-1