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Home » US Law » 2022 New York Laws » Consolidated Laws » ISC - Insurance » Article 80 - Mutual Holding Company » 8015 – Limitations of Actions; Security.
§  8015.  Limitations  of  actions;  security. (a) Notwithstanding any
other provision of law to the contrary and except as otherwise  provided
in  subsection (c) or (d) of this section, actions concerning or arising
out of any plan of reorganization, proposed plan of reorganization, plan
amendment or proposed plan amendment under  this  article  or  any  acts
taken  or  proposed  to  be  taken  under this article must be commenced
within  eighteen  months  after  the  plan  of  reorganization  or  plan
amendment  is filed pursuant to subsection (a) of section eight thousand
nine of this article or the charter is filed pursuant to subsection  (c)
of section eight thousand seventeen of this article, as the case may be,
in  the office of the superintendent or one year from the effective date
of the plan of reorganization, whichever is later, or  if  the  plan  of
reorganization  or plan amendment is withdrawn, within one year from the
date the board of directors approves a resolution to withdraw the  plan.
Where  an  action concerns or arises out of a plan amendment or proposed
plan amendment made under section eight thousand five of  this  article,
the  applicable  time period is measured from the filing, effective date
or approval of withdrawal of the plan amendment, as  the  case  may  be.
Where  the  action  arises  out  of  either  a  transfer of subsidiaries
pursuant to section eight thousand twenty of this article or a  sale  of
securities  of  the  reorganized  insurer  or  any stock holding company
pursuant to section eight  thousand  eighteen  of  this  article,  which
transfer  or  sale  is not contemplated by the plan, then the applicable
time period shall be measured from the effective date of  such  transfer
or sale, as the case may be. Where the action arises out of the terms or
proposed  terms  for  the  establishment  of  the  closed  block or such
alternative provision  pursuant  to  subsection  (b)  of  section  eight
thousand three of this article, then the applicable time period shall be
measured  from  the  implementation date as defined in subsection (e) of
section eight thousand three of this article. Where the action  concerns
or  arises  out  of a plan of reorganization adopted pursuant to section
eight thousand nineteen of this article, then the applicable time period
shall be measured from the effective date of the plan of reorganization.

(b) In any action referred to in subsection (a) of this section, the plaintiff or plaintiffs shall be required, upon a motion of the mutual holding company, reorganizing insurer or reorganized insurer or any stock holding company which establishes to the satisfaction of the court, that a substantial likelihood exists that such action is brought without merit and with an intention to delay or harass, to give adequate security for the damages and reasonable expenses, including attorneys' fees, which may be incurred as a result of, or in connection with, such action by such company and by any other defendants in such action or for which such company may become liable, to which security the mutual holding company, reorganizing insurer or reorganized insurer or any stock holding company shall have recourse in such amount as the court determines upon the termination of such action. The amount of security may from time to time be increased or decreased in the discretion of the court upon a showing that the security provided has or may become inadequate or excessive.

(c) Notwithstanding any other provision of law to the contrary, any action seeking a stay, restraining order, injunction or similar remedy to prevent or delay the closing of any transaction pursuant to this article or of any transaction described in the plan of reorganization must be commenced within one hundred twenty days after, as applicable: (1) the approval of a plan of reorganization by the superintendent pursuant to section eight thousand seven or eight thousand nineteen of this article, as the case may be; or (2) the approval of the superintendent pursuant to section eight thousand twenty of this article.

(d) Any action or proceeding against the superintendent or any other governmental body or officer in connection with any act taken or order, regulation or rule issued pursuant to this article must be commenced within one hundred twenty days from the date of such act or signing of such order, regulation or rule.

(e) Any person aggrieved by any act taken or order, regulation or rule issued pursuant to this article may petition for judicial review in the manner provided by article seventy-eight of the civil practice law and rules, pursuant to the limitations period prescribed in subsection (d) of this section. The petition shall be brought in the judicial department embracing the county wherein the act was taken or the order, regulation or rule was issued. All such proceedings shall be heard and determined as expeditiously as possible and with lawful precedence over other matters. Acts taken or orders, regulations or rules issued pursuant to this article shall not be stayed or enjoined except upon application after notice to the superintendent and to the attorney general and upon a showing that the petitioner has a substantial likelihood of success and will suffer irreparable harm if the stay or injunction is not granted.