N.Y. LIE Law § 15 — New York Code / Act LIE / Article 2 / Section 15
Assignments of contracts and orders to be filed
Status: in_force

§ 15. Assignments of contracts and orders to be filed. 1. No\nassignment of one or more contracts for the performance of labor or the\nfurnishing of materials for the improvement of real property or of the\nmoney or any part thereof due or to become due therefor, nor an order\ndrawn by a contractor upon the owner of such real property for the\npayment of such money, nor an order drawn by a subcontractor upon a\ncontractor or subcontractor for such payment, nor an order drawn by an\nowner upon the maker of a building loan, nor an assignment of moneys due\nor to grow due under a building loan contract, shall operate to reduce\nthe lien of a subcontractor, laborer or materialman, except as provided\nin sections thirteen and twenty-six of this chapter; nor shall any such\nassignment or order be valid for any purpose, unless a "Notice of\nAssignment" meeting the requirements of subdivision two of this section\nor the contract (other than a building loan contract) or a statement\ncontaining the substance thereof and such assignment or a copy of each\nor a copy of such order, be filed within ten days after the date of such\nassignment or such order, in the office of the county clerk of each\ncounty wherein real property improved or to be improved to which the\nassignment or order relates is situated and such assignment or order\nshall have effect and be enforceable from the time of such filing, and\nno such assignment or order shall have any validity until the same shall\nhave been so filed, and every such assignment or order, not filed shall\nbe absolutely void as against a subsequent assignee in good faith and\nfor valuable consideration, whose assignment or order is first duly\nfiled. Such clerk shall enter the facts relating to such assignment or\norder in the "lien docket" or in another book provided by him for such\npurpose. Each such assignment shall be indexed by the name of the\nassignor and each such order shall be indexed by the name of the drawer.\n  2. A "Notice of Assignment" filed pursuant to subdivision one of this\nsection shall be used only in the case of money advanced or to be\nadvanced to a contractor or subcontractor upon the assignment of one or\nmore contracts for the performance of labor or the furnishing of\nmaterials for the improvement of real property, or of the money or any\npart thereof due or to become due therefor. The said notice shall\ncontain (a) the names and addresses of the assignor and assignee, (b)\nthe date of the assignment, and the date the assignment will terminate,\nwhich termination date shall not be more than two years after the date\nof the assignment, (c) the maximum balance of advances outstanding to be\nsecured by the assignment, (d) a statement of each county wherein the\nreal property involved in the contracts is or may be situated, and (e)\neither a specific description of the substance of the contract or\ncontracts assigned, including an identification of the real property\ninvolved in each such contract, or a statement that the assignment\ncovers all or a specified class of the assignor's accounts or contract\nrights. If the contract or contracts assigned are described specifically\nthe real property identification shall be sufficient if it includes the\nname of the record owner and the location of the real estate by street\nand number and town or city or, if the real estate is in the city of New\nYork, by county, except that if the real estate is in the city of New\nYork or counties of Nassau or Onondaga, where the block system of\nrecording or registering and indexing conveyances is in use, the notice\nmust also specify the block in which the real estate is situated.\n  3. A "Notice of Assignment" may be continued in effect beyond the\nstated termination date by filing within sixty days prior to the\ntermination date a subsequent "Notice of Assignment" entitled "Second\nNotice of Assignment" or "Third Notice of Assignment", which identifies\nthe prior "Notice of Assignment" to which it relates and otherwise\nconforms to the requirements of subdivision two of this section.\n  4. The term "Notice of Assignment" as used in this section includes\nany amendments but if any amendment extends the assignment to cover\nadditional contracts it is effective as to the added contracts only from\nthe date of the filing.\n