2023 New York Laws › MHA - Municipal Housing Authority (Article 5 of the former State Housing Law) › Article 5 - Municipal Housing Authorities › 75 - Foreclosure and Other Remedies.

* §  75.  Foreclosure and other remedies. 1. In an action to foreclose a
mortgage on real  property  of  an  authority,  the  authority  and  the
municipality,  in addition to all other necessary parties, shall be made
parties defendant and shall take such steps in said  action  as  may  be
necessary  to  protect the public interest therein and no costs shall be
awarded against them. Wherever under the instrument creating  a  lien  a
notice  of default in writing is required to be served upon an authority
before the institution of foreclosure proceedings, a copy of such notice
shall be served upon the municipality before  the  institution  of  such
proceedings.  At  such a sale of the property of the authority pursuant
to foreclosure or other proceedings, the municipality may  purchase  the
property affected.
2.  In  addition to any other rights and remedies, but subject to such
limitations as may be made by contract, any lessor or mortgagee, or  any
trustee  designated  in the bonds of an authority or under a mortgage or
indenture executed by an authority as security for its bonds may: (a) by
mandamus or other suit, action or proceedings at law or in equity compel
the authority to perform each and every  term,  provision  and  covenant
contained in any agreement of the authority with such trustee, mortgagee
or  lessor  and require the performance of any or all such covenants and
agreements of the authority and of the duties imposed upon the authority
by this article;
(b) by action or suit in equity, enjoin any acts or things  which  may
be  unlawful or in violation of the rights of such trustee, mortgagee or
lessor;
(c)  by  suit,  action  or  proceedings  in  any  court  of  competent
jurisdiction  compel possession of any project or any part thereof to be
surrendered to such trustee, mortgagee or lessor  having  the  right  to
such possession under any agreement with the authority;
(d)  by  suit,  action  or  proceedings  in  any  court  of  competent
jurisdiction obtain the appointment of a receiver of any project of  the
authority or any part thereof and of the rents and profits therefrom. If
such  receiver  be  appointed,  he may enter and take possession of such
project or any part or parts thereof and operate and maintain same,  and
collect  and  receive  all  fees,  rents,  revenues,  or  other  charges
thereafter arising therefrom in the same manner as the authority  itself
might  do,  and shall keep such monies in a separate account or accounts
and apply the same in accordance with the obligations of  the  authority
as the court shall direct;
(e)  by action or suit in equity require an authority to account as if
it were the trustee of an express trust.
* NB The text of Article 5 of the  former  State  Housing  Law  (cited
herein  as  the  "Municipal  Housing  Authorities Law"), as such article
existed immediately prior to its  repeal  pursuant  to  section  227  of
Chapter  808 of the Laws of 1939, is provided here for ease of reference
and historical purposes as such text continues to be applicable for  the
New  York  City  Housing Authority pursuant to the provisions of section
401 of the current Public Housing Law.