Section 12. Certain patents and grants ratified

All patents of lands
  issued before July eleventh, eighteen hundred and  eighty-one,  pursuant
  to resolutions of the commissioners of the land office, and sold by them
  at  private  sale  to purchasers in good faith, purporting to convey the
  right, title and interest of the people of this  state  in  and  to  any
  state  lands,  except lands under water in the bay or harbor of New York
  or adjacent thereto, have been ratified and confirmed,  to  as  full  an
  extent  as though the same had been sold at public auction, according to
  law, but not so as to affect any action pending July eleventh,  eighteen
  hundred  and  eighty-one,  or to impair, release or discharge any right,
  claim or interest of any person in and to such lands.   All grants  made
  by  the  commissioners  of  the land office prior to March twenty-fifth,
  eighteen hundred and forty-one, of parts of lots for which payments were
  made and certified in the manner prescribed by law, have been confirmed.