ยง 194. Provision for pending actions. If, at the time any dividend is
made, any action or proceeding be pending against the trustees, in which
a demand against such debtor may be established, the trustees may retain
in their hands, the proportion which would belong to such demand if
established, and the necessary costs and expenses of such action or
proceeding, to be applied according to the event of such proceeding or
action, or to be distributed in a second or other dividend.
Structure New York Laws
Article 7 - Trustees for Insolvent and Imprisoned Debtors
163 - Death of Trustee; Survivor or Successor.
165 - Vesting of Property in Trustees.
167 - Notice to Debtors, Bailees and Creditors.
168 - Power to Sue Notwithstanding Notice.
169 - Forfeiture for Failure to Comply With Notice.
170 - Warrant on Withholding Account or Property.
171 - Examination of Person Arrested.
172 - Imprisonment for Contumacy.
173 - No Discharge for Defects of Form.
174 - Penalties for Connivance at Escape.
175 - Effect of Answers on Examination.
177 - Reference of Disputed Claims.
178 - Application for Appointment of Referee.
180 - Entry of Order of Reference.
181 - Powers, Duties and Compensation of Referees.
182 - Filing and Effect of Referees' Report.
183 - Commission to Take Testimony Out of County.
184 - Sale of Property and Accounts of Trustees.
185 - Meeting of Creditors and Notice Thereof.
186 - Proceedings at Creditors' Meetings.
187 - Payment of Disbursements and Commissions of Trustees.
190 - Preference of Debts Owing by Debtor as Trustee.
191 - Payment of Debts Before Maturity.
192 - Set-Off of Mutual Debts or Credits.
193 - No Set-Off in Certain Cases.
194 - Provision for Pending Actions.
194-A - Provision for Contingent or Unliquidated Liabilities.
197 - Provision for Neglectful Creditors.
202 - Trustees Subject to Order of Court.
203 - Appointment of Substitute Trustee.
204 - Application by Trustee for Leave to Renounce.
205 - Account Upon Application.
206 - Verification of Account.
210 - Order Permitting Renunciation.
211 - Assignment by Renouncing Trustee.
213 - Order for Discharge of Trustee From Trust.
215 - Recording Order and Filing Papers.
216 - Payment of Expense of Renunciation.