Section 47-E. Vacating of an assignment, by order of a court

1. An
  assignment may be vacated by a judgment of a  court  of  record  upon  a
  special  proceeding  brought by the assignor, his employer or any person
  having an interest therein. Before such judgment  shall  be  granted  an
  order  to show cause and the petition upon which it was granted shall be
  served upon the assignee, specifying the grounds upon which such  relief
  is  sought and requiring the assignee to show cause, at a time and place
  specified therein, why the assignment should  not  be  vacated.  If  the
  application  is  made by a person other than the assignor, a copy of the
  order to show cause and the petition upon which it was granted shall  be
  served upon the assignor, as the court shall direct. Such order shall be
  returnable  at  a  special term of a court of record in the county where
  the assignment is filed, if it has been filed, or, whether  or  not  the
  assignment  has  been filed, in the county where the assignor resides or
  the county where the assignee resides, and shall be returnable at a time
  not less than eight days from the service thereof unless  the  court  to
  whom the application is made shall find that a greater or lesser time is
  appropriate in the circumstances.
    The  order  to  show  cause and the petition upon which it was granted
  shall be served upon the assignee either (1) by personal service, or (2)
  by leaving them at his or  its  place  of  business  with  a  person  of
  suitable  age  and  discretion  with  directions  to deliver them to the
  assignee and mailing a copy by certified mail to the  assignee  directed
  to  the  address  specified in the assignment or if none is specified in
  the assignment to his or its last known address, or (3) as the court may
  direct. Proof of such  service  shall  be  made  by  affidavit.  If  the
  assignee  is a co-partnership consisting of two or more partners service
  on one partner shall constitute service on the co-partnership.
    2. Upon presentation of a transcript of a judgment  pursuant  to  this
  section,  vacating  an  assignment,  and  upon  payment of fees provided
  therefor, a county clerk in whose office the assignment is  filed  shall
  file the transcript of the judgment and shall enter on the margin of the
  page  where  the  assignment  is  entered, and against the assignment to
  which the judgment relates, the words "Vacated by order of the court."
    3. This section  does  not  enlarge  the  territorial  limits  of  the
  jurisdiction of any court.
    4.  No  assignment purporting upon its face or otherwise shown to have
  been made in compliance with the direction of the court in an action  or
  proceeding in a family court or in a matrimonial action or proceeding in
  a  court  of  this  state  shall be vacated by an order pursuant to this
  section.
    5.  In  any  proceeding  under  this  section  the  court  shall  have
  jurisdiction  to consider any and all defenses to the assignment and the
  debt secured thereby. The court may grant such interim relief as may  be
  appropriate.  The  burden of proving the assignment and the debt secured
  thereby shall be on the assignee.