NY Real Prop L § 122-A (2021)
2021 New York Laws RPP - Real Property Article 4 - Uses and Trusts 122-A - Modification of Trust Mortgages Given in Prior Re-Organizations.

§   122-a.   Modification   of   trust   mortgages   given   in  prior   re-organizations. Any such banking corporation or any individual  acting   as  trustee  in respect to any mortgage, deed of trust or indenture upon   real property, or any leasehold interest therein, against  which  bonds,   certificates,  shares or any other evidence of interests therein (herein   called "debts") shall have been issued to the public, and which mortgage   shall have been given to such trustee by a corporation  organized  under   section   one   hundred   twenty-one  hereof,  pursuant  to  a  plan  of   reorganization approved by the court and which  became  effective  under   section one hundred twenty-two hereof, or which mortgage shall have been   given to or is held by such trustee pursuant to, or by reason of, a plan   of  reorganization  heretofore or hereafter approved and confirmed under   the bankruptcy acts of the United States or which  mortgage  shall  have   been given to such trustee under a voluntary plan of reorganization by a   corporation  caused  to be organized by a bondholders' committee for the   purpose of acquiring the property secured by such mortgage, may, without   foreclosure of such mortgage,  and  whether  or  not  a  default  exists   thereunder, present to the supreme court in the county where all or part   of  the  real property affected by such mortgage is situated, a plan for   the reorganization of such mortgage, deed of  trust  or  indenture.  The   plan  of  reorganization  may  provide  for:  (1)  the  extension of the   maturity of the mortgage, deed of  trust  or  indenture  and  the  debts   secured  thereby;  (2)  the modification of the provisions for interest,   amortization or sinking funds; and (3) such other changes, modifications   or amendments as may be fair and feasible and for the best interests  of   the  security holders. Such plan may likewise be presented by holders or   representatives of twenty-five per centum in principal  amount  of  such   securities.  Such  plan  may cover one or more mortgages with respect to   said property. If no default shall exist in the payment of principal  or   interest, such plan may be presented by the mortgagor or by the owner of   the  property covered by such mortgage. Hearing upon such reorganization   plan  shall  be  at  such  time  and  place  and  upon  such  notice  by   publication,  mailing or otherwise as the court shall fix in an order to   show cause why the plan  should  not  be  approved.  No  plan  shall  be   approved unless the court, after such hearing shall determine that it is   fair,  feasible  and for the best interests of the security holders. The   affirmative consent of the holders of two-thirds of the principal amount   of the outstanding securities shall constitute a  presumption  that  the   plan  is  fair,  feasible  and  for  the  best interests of the security   holders. All proceedings hereunder and the rights of the parties hereto,   including  the  hearing,  the  final  order  determining  the  plan   of   reorganization embodying such modifications, the time and method for the   persons  affected by such plan becoming parties thereto and the right of   appeal from  any  order,  shall  be  governed  by  section  one  hundred   twenty-two  hereof;  except  that  if  the  reorganization  shall become   effective it shall be without prejudice to the right of  any  particular   holder  of  such securities who has duly dissented therefrom to have the   court determine the cash value of such securities as he may  have  owned   on  or before the date of the presentation of the plan of reorganization   pursuant to this section, and providing for the payment or securing  his   ratable  share  of  such  amount  as  a condition for declaring the plan   effective. Upon the order becoming effective the plan shall  be  binding   upon all the security holders.If  any provision of this section or of section one hundred twenty-two   hereof or any clause, sentence, paragraph or any part of such section or   the application thereof to any person  or  circumstance  shall  be  held   unconstitutional  or invalid, such decision or judgment shall not affect   or impair the constitutionality or validity of  the  remainder  thereof,    but  shall  be  confined  in  its  operation  to  the  clause, sentence,   paragraph  or  part  thereof  directly  involved  in  such  decision  or   judgment.