NY Banking L § 138 (2021)
2021 New York Laws BNK - Banking Article 3 - Banks and Trust Companies 138 - Foreign Branches; Performance of Contracts and Repayment of Deposits.

§ 138.  Foreign  branches;  performance  of contracts and repayment of   deposits. 1. Notwithstanding section 1--301 of  the  uniform  commercial   code,  any  bank or trust company or national bank located in this state   which in accordance with the provisions of  this  chapter  or  otherwise   applicable  law shall have opened and occupied a branch office or branch   offices in any foreign country shall  be  liable  for  contracts  to  be   performed at such branch office or offices and for deposits to be repaid   at  such  branch  office  or  offices  to no greater extent than a bank,   banking corporation or other organization  or  association  for  banking   purposes  organized  and existing under the laws of such foreign country   would be liable under its laws. The laws of such foreign country for the   purpose of this section shall be deemed to include  all  acts,  decrees,   regulations  and  orders promulgated or enforced by a dominant authority   asserting governmental, military or police power  of  any  kind  at  the   place  where  any  such  branch  office  is located, whether or not such   dominant authority be recognized as a de facto or de jure government.2. Notwithstanding section 1--301 of the uniform commercial  code,  if   by  action of any such dominant authority which is not recognized by the   United States as  the  de  jure  government  of  the  foreign  territory   concerned, any property situated in or any amount to be received in such   foreign  territory  and carried as an asset of any branch office of such   bank or trust company or national bank  in  such  foreign  territory  is   seized, destroyed or cancelled, then the liability of such bank or trust   company  or  national  bank  for  any  deposit  theretofore received and   thereafter to be repaid by it, and for any contract theretofore made and   thereafter to be performed by it, at any branch office in  such  foreign   territory  shall  be  reduced pro tanto by the proportion that the value   (as shown by the books or other records of such bank or trust company or   national bank at the time of such seizure, destruction or  cancellation)   of  such  assets  bears to the aggregate of all the deposit and contract   liabilities of the branch office  or  offices  of  such  bank  or  trust   company  or  national  bank  in such foreign territory, as shown at such   time by the books or other records of such  bank  or  trust  company  or   national bank.2-a. Notwithstanding the provisions of any law to the contrary, a bank   or  trust  company  or  national bank located in this state shall not be   required to repay any deposit made at a foreign branch of any such  bank   if  the  branch  cannot  repay  the  deposit  due  to (i) an act of war,   insurrection, or civil strife; or (ii) an action by a foreign government   or instrumentality, whether de jure or de facto, in the country in which   the branch is located preventing such repayment, unless  such  bank  has   expressly   agreed   in   writing   to  repay  the  deposit  under  such   circumstances. The superintendent of financial services  may  promulgate   regulations  necessary to effectuate the provisions of this subdivision,   including  regulations  providing  for  adequate  disclosure  to  retail   depositors  in  the  United  States  of  the  restrictions  on repayment   contained in this subdivision. The provisions of this subdivision  shall   not  alter  or diminish the liability of a custodian of assets of a fund   under section one hundred seventy-eight-a of the retirement  and  social   security law.3.  If  any  provision  of  this  section,  or the application of such   provision to any bank, trust company or national  bank,  shall  be  held   invalid,  the  remainder  of  this  section, and the application of such   section to banks, trust companies and national banks other than those to   which it is held invalid, shall not be affected thereby.