Section 304. Advance payment; actions thereafter  


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  • (A) The written offer, or
      any adjustment thereof made prior to acceptance, shall state that:
        (1) the offer  constitutes  the  amount  of  the  condemnor's  highest
      approved  appraisal  of the just compensation for the property, and that
      payment will be made together with appropriate interest;
        (2) a condemnee may accept the offer as payment in full; or
        (3) a condemnee may reject the offer as payment in  full  and  instead
      elect to accept such offer as an advance payment, and that such election
      shall  in  no way prejudice the right of a condemnee to claim additional
      compensation; however, the failure of the  condemnee  to  file  a  claim
      within  the  time  of  filing  claims  as provided in subdivision (A) of
      section five hundred three of this law shall be deemed an acceptance  of
      the amount paid as full settlement of such claim;
        (4)  upon  the  acceptance  of  the  written or an adjusted offer, the
      condemnor  shall  enter  into  an  agreement  or  stipulation  with  the
      condemnee  providing  for  payment pursuant to such agreement, either as
      payment in full or as an advance payment. The right of the condemnee  to
      the  advance payment shall not be conditioned on the waiver of any other
      right.
        (B) The offer shall be deemed rejected in the event that  a  condemnee
      within ninety days of the offer fails or refuses to notify the condemnor
      in writing that the advance payment is accepted.
        (C) In the event a condemnee shall reject the offer or the offer shall
      be   deemed   rejected  pursuant  to  subdivision  (B)  or  a  condemnee
      unreasonably fails to provide the condemnor with all  papers  reasonably
      necessary to effect a valid transfer of title as acquired, within ninety
      days  of  receipt,  the  condemnor's  obligation  to pay interest on the
      amount of the offer shall be suspended until such time as the  condemnee
      accepts  the  offer  as  payment  in  full, or as an advance payment, or
      provides the necessary title papers as the case may be.
        (D) In the event an owner accepts the offer as payment in full  or  as
      an  advance  payment  for property in an acquisition under supreme court
      jurisdiction pursuant to subdivision (B) of section five hundred one  of
      this  chapter  and  the condemnor determines that there is a conflict of
      title or a conflict arises over the percentage of the condemnation award
      which should be paid to each of  several  owners  of  interests  in  the
      condemned  property, the condemnor shall, unless it is otherwise agreed,
      deposit the full or advance payment, as the case may be, with the  clerk
      of  the  supreme  court  having  jurisdiction of the claim. This deposit
      shall be placed in an interest bearing account  until  payment  of  such
      sum, including accumulated interest, is directed to be made by the court
      on  application  of  any  person  claiming  an  interest  in  the amount
      deposited. After the deposit as  herein  provided  has  been  made,  the
      condemnor   shall  notify  all  persons  claiming  an  interest  in  the
      condemnation award that the amount payable thereunder has been deposited
      and is subject to an application by an interested person or persons to a
      distribution proceeding. The determination  of  the  supreme  court  and
      final  judgment  of  distribution shall, unless set aside or reversed on
      appeal, be final  and  conclusive  upon  the  owners  or  other  persons
      claiming  any  interest  in  or  lien  or encumbrance on the property so
      appropriated and the  amount  deposited.  A  deposit  pursuant  to  this
      section  shall  terminate  the condemnor's obligation to pay interest on
      the amount so deposited provided that interest is paid on such  deposit.
      No  sum  paid into court or deposited shall be charged fees, commissions
      or poundage.
        (E) (1) In the event that an owner accepts the  offer  as  payment  in
      full  or  as an advance payment for property in an acquisition under the
      court of claims jurisdiction pursuant to subdivision (A) of section five
    
      hundred one of this chapter and the  attorney  general  determines  that
      there  is  a conflict of title or a conflict arises so that he is unable
      to make certification of the person or persons legally entitled  to  the
      amount  payable under an agreement adjusting all legal damages caused by
      any such acquisition, the condemnor shall request  the  comptroller  to,
      and  the  comptroller  shall,  deposit  the  amount  payable  under such
      agreement in a special interest bearing account in  any  bank  in  which
      moneys belonging to the fund from which such compensation is payable may
      be  deposited,  to  be  distributed as ordered by the court of claims on
      application of any person claiming an interest in the amount  deposited.
      After  making the deposit as herein provided, the attorney general shall
      notify all parties claiming an interest in  the  fund  that  the  amount
      payable  thereunder  has been deposited and is subject to an application
      by an interested person or persons to  a  distribution  proceeding.  The
      procedure  on  such  an  application  shall  be  the same as provided in
      section  twenty-three  of  the  court  of  claims  act  respecting   the
      distribution  of  deposited  court  of  claims  awards,  except that the
      proceeding shall be conducted in the court of claims, in the district in
      which the appropriated property is located and such application shall be
      made by filing the original and one copy of the verified  petition  with
      the  chief clerk of the court of claims in Albany, and upon service of a
      copy of the verified petition upon the attorney general at his office in
      Albany. The determination of the court of claims and final  judgment  of
      distribution shall, unless set aside or reversed on appeal, be final and
      conclusive  upon the owners or other persons claiming any interest in or
      lien or encumbrance on the  property  so  appropriated  and  the  amount
      deposited.  No  judgment  of distribution shall be made unless the court
      shall first obtain personal jurisdiction over all persons  certified  by
      the  attorney  general  as having or claiming to have an interest in the
      fund.
        A  deposit  made  pursuant  to  this  paragraph  shall  terminate  the
      condemnor's  obligation  to  pay  interest  on  the  amount so deposited
      provided that interest is paid on such deposit. No sum paid  into  court
      or deposited shall be charged fees, commissions or poundage.
        In  the  event  a  condemnee  at any time subsequent to a deposit made
      pursuant to  this  paragraph  one,  but  prior  to  an  application  for
      distribution,  provides  the  condemnor  with  the papers referred to in
      subdivision (C) of this section in a form satisfactory to  the  attorney
      general,  the  condemnor  shall  request  the  comptroller  to,  and the
      comptroller shall, without any court order being required, withdraw  the
      sum  deposited together with all interest accrued thereon, and redeposit
      the same, including the interest thereon, to the account from  which  it
      was withdrawn for the purpose of effecting payment by the comptroller as
      provided by law.
        (2) In the event that an owner does not accept the offer as payment in
      full  or  as an advance payment for property in an acquisition under the
      court of claims jurisdiction pursuant to subdivision (A) of section five
      hundred one of this chapter, at any time subsequent to  the  vesting  of
      title  in  the state of New York, but in no event after ninety days from
      the vesting of title in the state of New York, the condemnor shall, upon
      receiving  written  approval  of  the  attorney  general,  request   the
      comptroller   to,  and  the  comptroller  shall,  after  his  audit  and
      acceptance of the highest approved  appraisal  referred  to  in  section
      three  hundred  three  and  paragraph  one of subdivision (A) of section
      three hundred four herein, deposit the amount of the  condemnor's  offer
      in  a  special  interest  bearing  account  in  any bank in which moneys
      belonging to the fund from which such compensation  is  payable  may  be
    
      deposited,  to  be  distributed  as  ordered  by  the court of claims on
      application of any person claiming an interest in the amount deposited.
        Notwithstanding any other provision of law to the contrary, if such an
      acquisition  is  being  made  for  a  federally-aided  project  and  the
      condemnor determines it necessary to deposit the amount of  the  highest
      appraised  value without delay in order to proceed with the letting of a
      construction contract  and  to  comply  with  federal  laws,  rules  and
      regulations,  the  condemnor  may  request  the  comptroller to make the
      deposit herein provided at any time subsequent to the vesting  of  title
      in  the state of New York and provided an offer of payment in full or as
      an advance payment has been made to the owner. The written  approval  of
      the  attorney  general  shall not be necessary under this paragraph, but
      the comptroller shall, after making the aforesaid deposit,  transmit  to
      the  attorney  general a notice in writing approximately identifying the
      proceeding or project, the map and parcel number or numbers and the name
      of the depository bank,  together  with  the  date  and  amount  of  the
      deposit.
        After  the  deposit  has  been  made  as herein provided, the attorney
      general shall notify all parties having or claiming to have an  interest
      in the fund that the amount payable thereunder has been deposited and is
      subject  to  an  application  by  an  interested  person or persons to a
      distribution proceeding. The procedure on such an application  shall  be
      the  same as provided in section twenty-three of the court of claims act
      respecting the distribution of deposited court of claims awards,  except
      that  the  proceeding  shall be conducted in the court of claims, in the
      district  in  which  the  appropriated  property  is  located  and  such
      application  shall  be  made  by filing the original and one copy of the
      verified petition with the chief clerk of the court of claims in Albany,
      and upon service of a copy of the verified petition  upon  the  attorney
      general  at  his  office  in  Albany.  The determination of the court of
      claims, and final judgment of distribution shall, unless  set  aside  or
      reversed  on  appeal,  be  final and conclusive upon the owners or other
      persons claiming any interest in or lien or encumbrance on the  property
      so  appropriated  and  the amount deposited. No judgment of distribution
      shall be made unless the court shall first obtain personal  jurisdiction
      over all persons certified by the attorney general as having or claiming
      to have an interest in the fund.
        A  deposit  made  pursuant  to  this  paragraph  shall  terminate  the
      condemnor's obligation to  pay  interest  on  the  amount  so  deposited
      provided that interest is paid upon such deposit. No sum paid into court
      or deposited shall be charged fees, commissions or poundage.
        In  the  event  an  offer  is  accepted  subsequent  to a deposit made
      pursuant to this paragraph and if no application  for  distribution  has
      been  made,  the  condemnor  shall  request  the comptroller to, and the
      comptroller shall, without any court order being required, withdraw  the
      sum  deposited together with all interest accrued thereon, and redeposit
      the same including interest thereon to the account  from  which  it  was
      withdrawn  for  the  purpose  of effecting payment by the comptroller as
      provided by law.
        (3) Nothing contained in this section shall, in any  way,  affect  the
      right  of  a  condemnee  who  has  not accepted the condemnor's offer as
      payment in full from filing a claim in the court of  claims  within  the
      time limited therefor.
        Furthermore,  in  the  event  three years from the date of any deposit
      made pursuant to this subdivision have elapsed, and no  application  for
      distribution  as  aforesaid  has been made, the comptroller may, without
      any court order, withdraw the sum deposited together with  all  interest
      accrued  thereon  and  redeposit the same in the account from which such
    
      sum  was  withdrawn  for  the  purpose  of  effecting  payment  by   the
      comptroller as provided by law.
        (4)  Notwithstanding  the provisions of paragraphs one and two of this
      subdivision, the comptroller is authorized, at his discretion,  to  make
      any  deposits  required  pursuant  to  paragraphs  one  and  two of this
      subdivision into the eminent domain account created pursuant to  section
      ninety-seven-dd  of the state finance law. Such deposits may be invested
      with  other  state  moneys  by  the  comptroller  in  those  obligations
      specified   in   section   ninety-eight-a  of  the  state  finance  law.
      Notwithstanding the provisions of section sixteen of the  state  finance
      law  or  any other general or special law to the contrary, if moneys are
      deposited by the comptroller in the eminent domain  account  established
      pursuant  to  section  ninety-seven-dd  of  the  state  finance law, the
      condemnee shall be entitled to receive interest at the  rate  determined
      by  the  comptroller  based  on the rate of earnings of such investments
      during the period of deposit.
        (F) At any time subsequent to making the written offer, the amount  of
      such  offer  may  be  adjusted  or  revised  by the condemnor to reflect
      correction of error or miscalculation.
        (G) The reservation of the right  to  claim  additional  compensation,
      pursuant  to  paragraph  three of subdivision (A) of this section, shall
      not extend or affect in any way the time limit for the  filing  of  such
      claim as provided in section five hundred three of this law.
        (H)  When  an  advance  payment  to  a condemnee made pursuant to this
      section by the condemnor  exceeds  the  award  of  the  court  for  that
      property,  the  court  shall,  on motion, enter judgment in favor of the
      condemnor for the amount of such excess and appropriate  interest.  Such
      motion  shall be made on notice served within thirty days after delivery
      to the condemnor of the decision of the court making the award.