New York Debtor & Creditor Law Section 194 - Provision for pending actions.

194. Provision for pending actions. If, at the time any dividend is made, any action or proceeding be pending against the trustees, in which a demand against such debtor may be established, the trustees may retain in their hands, the proportion which would belong to such demand if established, and the necessary costs and expenses of such action or proceeding, to be applied according to the event of such proceeding or action, or to be distributed in a second or other dividend.

Last modified: February 3, 2019