New York LIE Code § 104

Action on undertaking
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§ 104. Action on undertaking. The undertaking may be prosecuted by\naction in any court having jurisdiction thereof, at any time within\nthree months after its delivery, but not afterward. If, in such action\nit is found that any sum is due the plaintiff which was a subsisting\nlien upon the vessel at the time the notice of lien was filed, the\nplaintiff shall have judgment for the recovery of the same with the\ncosts and disbursements of the action and the costs of the proceedings\nfor the seizing of the vessel and shall have execution therefor. If it\nis found in such action that no such lien existed, judgment shall be\nrendered against the plaintiff for the costs and disbursements of the\naction and the costs of the proceedings, including the amount paid the\nsheriff in the discharge of the vessel from the warrant.\n

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