Section 139-C. Removal of disqualification of public contractors by petition

1. Any firm,  partnership  or  corporation  which  has  become
  subject   to   the   cancellation   or  termination  of  a  contract  or
  disqualification to contract on account of  the  refusal  of  a  member,
  partner,  director  or  officer thereof to waive immunity when called to
  testify, as provided in  sections  one  hundred  thirty-nine-a  and  one
  hundred thirty-nine-b of this article, may, upon ten days' notice to the
  attorney  general  and  to  the  officer who conducted the investigation
  before the grand jury, the head of a state department, the  chairman  of
  the  temporary  state commission or other state agency, or the organized
  crime task force in the department of law in which the refusal occurred,
  commence a special proceeding at a special term  of  the  supreme  court
  held  within  the judicial district in which the refusal occurred for an
  order discontinuing the disqualification. The petition shall  set  forth
  grounds,  including  that  the  cooperation by petitioner with the grand
  jury or other body which conducted the investigation at the time of  the
  refusal  was  such,  and  the amount and degree of control and financial
  interest, if any, in the petitioning firm, partnership or corporation by
  the member, partner, officer or director who refused to  waive  immunity
  is  such,  that  it  will  not  be  in  the public interest to cancel or
  terminate petitioner's contracts or to continue the disqualification, as
  provided  in  sections  one  hundred  thirty-nine-a  and   one   hundred
  thirty-nine-b of this article.
    A  copy  of  the petition and accompanying papers shall be served with
  the notices to be given pursuant to this subdivision.
    2. Upon the  filing  of  such  petition  the  court  may  stay  as  to
  petitioner,  pending  a  decision upon the petition, the cancellation or
  termination of any contracts resulting from such refusal upon such terms
  as to notice or otherwise as may be just.
    3. At least two  days  prior  to  the  return  day,  the  officer  who
  conducted  the investigation before the grand jury or other body and the
  attorney general may file answers to the petition or move  for  judgment
  dismissing  the petition as a matter of law. On or before the return day
  the petitioner may file a reply to the answer.
    4. Upon the return day the court may, upon the petition and answer and
  other papers filed, forthwith render such judgment as the case requires,
  or if a triable issue of fact is duly  raised,  it  shall  forthwith  be
  tried  before  a  court  sitting without a jury or before a referee. The
  provisions of statute or rule governing references in  an  action  shall
  apply to a reference under this subdivision.
    5.  The  court  shall  render  judgment dismissing the petition on the
  merits or discontinuing the disqualification upon the  ground  that  the
  public interest would be served by its discontinuance, and granting such
  other  relief  as to the cancellation or termination of contracts as may
  be appropriate, but without costs to petitioner.