NY Exec L § 634 (2021)
2021 New York Laws EXC - Executive Article 22 - Office of Victim Services 634 - Subrogation.

§ 634. Subrogation.  1.  (a)  Acceptance  of an award made pursuant to this article shall subrogate the state, to the extent of such award,  to any  right  or right of action accruing to the claimant or the victim to recover payments on account of losses  resulting  from  the  crime  with respect  to  which  the award is made. Upon the payment of an award, the office may, by writing, notify  the  claimant  that  such  claimant  has ninety  days,  or  thirty  days  prior  to the date of expiration of the applicable statute of limitations, whichever period is  shorter,  within which  to  commence  an  action against his assailant or any third party who, as a result of the crime, may be liable in damages to the claimant. If the claimant fails to commence an action  within  the  time  provided herein,  such failure shall, after written notification by the office to the claimant, operate as an assignment of the claimant's cause of action against the assailant or such other third party to the state;  provided, however,  that  should the claimant's cause of action be in an amount in excess of the office's award, such assignment shall  be  for  only  that portion of the cause of action which equals the amount of the award.  (b)  The office of victim services shall review those claims that have been approved by the office and that have resulted in an award in excess of one thousand dollars for the purpose of identifying those  causes  of action  that  are likely to result in recovery of the state's payment to the victim. The office shall submit a list of these claims on a  monthly basis to the attorney general with all necessary information relating to the  case  including  whether  the  claimant's  cause of action has been assigned to the office.  (c) The attorney general may commence an action against the  defendant convicted of the crime or third party for money damages to the extent of the award paid, and the claimant shall retain a right of action, subject to  defenses, to recover damages for the full amount of loss incurred by him as a result of the crime less the amount assigned to  the  state  by operation  of  this  subdivision. Notwithstanding any other provision of law, an  action  brought  by  the  attorney  general  pursuant  to  this paragraph against the defendant convicted of the crime must be commenced within  seven  years  of  the  crime  or  pursuant  to  the  time frames authorized in subdivision three of section six hundred  thirty-two-a  of this  article.  A  claimant  who  retains  such right of action shall be permitted  to  intervene  in  any  action  brought  pursuant   to   this subdivision  by the attorney general. Any action brought by the attorney general may be compromised or settled provided the attorney general  and the office find that such action is in the best interests of the state.   2. Acceptance of an award made pursuant to this article shall create a lien  in  favor  of  the  state on the proceeds of any recovery from the person or persons liable for the injury or  death  giving  rise  to  the award by the office, whether by judgment, settlement or otherwise, after the  deduction  of  the reasonable and necessary expenditures, including attorney's fees, incurred in  effecting  such  recovery,  to  the  total amount  of  the  award made by the office. Such lien shall attach to any moneys received or to be received by the claimant or victim  on  account of losses resulting from the crime. Should the claimant or victim secure a  recovery  from  the  person or persons liable for the injury or death giving rise to the award by the office, whether by judgment,  settlement or otherwise, such claimant may, upon notice to the office, apply to the court  in  which the action was instituted, or to any court of competent jurisdiction if no action was instituted, for an order apportioning  the reasonable   and  necessary  expenditures,  including  attorney's  fees, incurred  in  effecting  such  recovery.  Such  expenditures  shall   be equitably  apportioned by the court between the claimant and the office. A copy of such lien shall be mailed to the clerk of  the  county  within  which the crime occurred and such clerk will file the copy in accordance with  the  duties  of  such  clerk  as set forth in section five hundred twenty-five  of  the  county  law.  The  amount  of  such  lien  may  be compromised or settled by the office provided the office finds that such action  is  in  the  best interests of the state, or payment of the full amount of the lien to the state  would  cause  undue  hardship  for  the victim.   2-a.  To  the  extent  the  office  has made an award pursuant to this article for burial expenses,  such  amount  shall  be  considered  among reasonable  funeral expenses of the decedent pursuant to subdivision one of section eighteen hundred eleven of the  surrogate's  court  procedure act,  to  be  recovered  by  the  office,  provided,  however, that if a beneficiary of the victim's estate is also a person eligible to  receive an  award  pursuant  to section six hundred twenty-four of this article, the office shall recover such amounts pursuant  to  subdivision  two  of this  section to the extent an award has been made to such person, prior to pursuing recovery from the  victim's  estate.  Any  recovery  from  a victim's  estate  under  this  subdivision shall reduce the state's lien under this section to the extent of the recovery by the office.   3. Any claimant who has received an award under this article,  or  his guardian,  judicially  appointed personal representative, or his estate, who brings an action for damages against the person  or  persons  liable for the injury or death giving rise to an award by the office under this article  shall  give written notice to the office of the commencement of such action at the time such action is commenced. Such notice  shall  be served personally or by certified mail, return receipt requested.   4. The attorney general may intervene, as of right, in any such action on  behalf  of  the  state of New York for the purpose of recovering the subrogated interest due the state of New York under  the  provisions  of this article.   5.  The  director  shall  adopt rules and regulations to carry out the provisions and purposes of this section.   6. The office  shall  compile  information  on  the  number  of  cases submitted  to  the attorney general, the number of actions instituted by the attorney general to recover payments  made  to  crime  victims,  the dollar  amount  of recoveries made in such actions both on behalf of the state and any awards made to victims who intervene in such actions.  The office  shall  include  this information, and any recommendations to the governor and legislature to improve the collection  of  awards,  in  its annual report.