ยง 20. Discharge of lien after notice of lien filed by payment of money
into court. A lien specified in this article, other than a lien for
performing labor or furnishing materials for a public improvement, may
be discharged after the notice of lien is filed at any time before an
action is commenced to foreclose such lien, by depositing with the
county clerk, in whose office the notice of lien is filed, a sum of
money equal to the amount claimed in such notice, with interest to the
time of such deposit. After such deposit is made and the lien is
discharged the county treasurer or any other officer with whom the money
is deposited shall, within ten days thereafter, send a notice by mail to
the lienor, at the address given in the lien, that such lien has been
discharged by deposit. After action to foreclose the lien is commenced
it may be discharged by a payment into court of such sum of money, as,
in the judgment of the court or a judge or justice thereof, after at
least five days' notice to all the parties to the action, will be
sufficient to pay any judgment which may be recovered in such action.
Upon any such payment, the county clerk shall forthwith enter upon the
lien docket and against the lien for the discharge of which such moneys
were paid, the words "discharged by payment. " A deposit of money made
as prescribed in this section shall be repaid to the party making the
deposit, or his successor, upon the discharge of the liens against the
property pursuant to law. All deposits of money made as provided in this
section shall be considered as paid into court and shall be subject to
the provisions of law relative to the payment of money into court and
the surrender of such money by order of the court. An order for the
surrender of such moneys to the lienor or depositor may be made by any
court of record having jurisdiction of the parties. If no action is
brought in a court of record to enforce such lien, such order may be
made by any judge of a court of record. If application for such order is
made by lienor it shall be on notice to the depositor; if made by the
depositor then on notice to the lienor.
Structure New York Laws
3 - Mechanic's Lien on Real Property.
4-A - Insurance Proceeds Liable for Demands.
5 - Liens Under Contracts for Public Improvements.
6 - Liens for Labor on Railroads.
7 - Liability for Advance Payments, Collusive Mortgages and Incumbrances.
8 - Terms of Contract May Be Demanded.
9 - Contents of Notice of Lien.
10 - Filing of Notice of Lien.
11 - Service of Copy of Notice of Lien.
11-A - Notice of Completion and Acceptance May Be Demanded.
11-B - Copy of Notice of Lien to a Contractor or Subcontractor.
12 - Notice of Lien on Account of Public Improvements.
15 - Assignments of Contracts and Orders to Be Filed.
16 - Assignment of Contracts and Orders for Public Improvement to Be Filed.
18 - Duration of Lien Under Contract for a Public Improvement.
19 - Discharge of Lien for Private Improvement.
20 - Discharge of Lien After Notice of Lien Filed by Payment of Money Into Court.
21 - Discharge of Lien for Public Improvement.
21-A - Vacating Lien for a Public Improvement, by Order of Court.
24 - Enforcement of Mechanic's Lien.
25 - Priority of Liens and Assignments Under Contracts for Public Improvements.
26 - Subordination of Liens After Agreement With Owner.
28 - Lien of Certain Judgments Postponed.
29 - Subordination of Liens to Subsequent Mortgage.
30 - Subordination of Notices of Lis Pendens.
31 - Discharge of Liens on Sale of Real Property.
32 - Certain Liens and Claims Not to Be Affected.
33 - Certain Sections Not to Apply to Laborers' Liens.
35 - Waiver of Arbitration; Arbitrators' Award Conclusive.
37 - Bond to Discharge All Liens.
38 - Itemized Statement May Be Required of Lienor.
39 - Lien Wilfully Exaggerated Is Void.
39-A - Liability of Lienor Where Lien Has Been Declared Void on Account of Wilful Exaggeration.